Consumer Attitudes Attitudes What is an attitude? – Expressions of inner feelings that reflect whether a person is favorably or unfavorably predisposed to some object; – in marketing, “object” can be a brand, a brand name, a service, a service provider, a retail store, a company, an advertisement, in essence, any marketing stimuli. Why, From a Marketer’s point of view, is it important to know about Attitudes? If a consumer is favorably disposed towards your product or service then you want to keep them so disposed If they are unfavorably disposed then you want to change their attitude. Therefore we need to know. What they are How they are formed What influences them How they can be changed Development of Attitudes Attitudes are learned predispositions; therefore, their development is influenced by – – – – – – – personality of the individual family peers experience education culture subculture, nationality Functions of Attitudes Utilitarian: guide consumers to seek out products for certain benefit – Do they like it or not. Value-expressive: consumers’ attitudes guide them to use products that are an expression of themselves – what does it say about them. Ego-defensive: consumers’ attitudes guide them to use products that protect their selfesteem – What self doubts do they help overcome. Edna's plight: Bad breath. A Listerine ad from the 1920s. Knowledge function: attitudes enable us to organize the information – does the product meet the needs for order and structure Shell’s ad provides reassurance Three Components of Attitudes The ABCs of attitudes: The Affective Component (based on feelings or overall evaluation) – I feel good about myself when I drive a BMW The Behavioral Component (likely action toward object; e.g. from a consumer behavior point of view, the consumer’s intention to buy a product) – I will buy a BMW next time The Cognitive Component (based on beliefs; what you think about a marketing stimulus) – I think BMWs are quality cars Hierarchy of Effects This sweater looks so good on the mannequin that some consumers “just have to have it”. In other words, they fall in love with it and buy it. Once they get it home they learn about it by looking at the tag to see if it needs to be dry cleaned etc. What’s the ABC sequence. Golf Pro shops encourage shoppers to take clubs to the driving range to try them out before buying them. Many companies give out free samples. Consumers first try the product, then decide whether they like it or not. Finally they form an opinion of it. The ABC sequence is? Washing machines are about as expensive as other major appliances but are usually hidden in the basement, and few care about how they look. Washing machines are functional. When buying one it is likely consumers will visit several stores first, talk to salesmen check the Internet etc. i.e. Consumers gather information, consider the alternatives and then choose a model. The ABC sequence is? High Involvement Learn-Feel-Do Low Involvement Learn-Do-Feel Experiential Feel-Do-Learn Our attitude can be influenced by the ad over and above the product An ad with a warm feeling The Woman in This Ad Exhibits a High Level of Attitudinal Commitment to Her Employer Fishbein’s Multi-attribute Theory Fishbein’s model argues that consumers’ attitudes towards a brand derive from their beliefs about the attributes of the brand and their evaluations of those attributes Three factors influence attitude formation: – salient attributes for an object/product – extent to which consumer believes product contains these salient attributes – Importance of the attribute to the consumer Fishbein’s Multiattribute Theory Step One: List of Attributes Step Two: Obtain the relative importance of them (weights). Step Three: Obtain the evaluation of each brand with respect to each attribute. (6=Excellent, 5=Very Good, 4=Good, 3=Bad, 2=Very Bad, 1=Poor) Step Four: Obtain the mathematical solution, applying Fishbein’s Formula. Fishbein’s Multi-attribute Theory Aijk = (Bijk x Iik): – – – – – where i = attribute j = brand k = consumer I = Importance weighting B = Extent to which the brand is believed to possess the attribute – A = Attitude toward brand/product/etc.; Example Application of Fishbein’s Multi-attribute Theory In Crowfoot, there are 3 banks: TD, CIBC, Royal. We would like to know the degree of preference clients have to each Step One: List of Attributes: quickness in service, office hours, localization, parking facilities, etc Step Two: Obtain the relative importance of them (weights). Quickness 1, Hours 4, Localization 3, Parking 2 Step Three: Obtain the evaluation of each bank with respect to each attribute. (6= Excellent, 5=Very Good, 4=Good, 3=Bad, 2=Very Bad, 1=Poor) Step Four: Obtain the mathematical solution, applying Fishbein’s Model. Example Application of Fishbein’s Multi-attribute Theory Importance Royal Quickness Hours Localization Parking Total 1 4 3 2 4 3 4 1 30 TD CIBC 3 3 3 2 28 1 3 2 5 29 Which is the best Bank? Which is the worst Bank? What would you do if you were responsible for TD? Problems with Fishbein’s Model Measure of Attitude not equal to Behaviour Does not address situational factors Not all attitudes are equal - some strongly held others weakly Does not consider social factors Some things are beyond consumer's control Assumes that we have been able to specify adequately all the relevant attributes Fishbein’s Theory of Reasoned Action A refinement of his multi-attribute model Now considers conviction with which attitude held - more of a behavioral intention model Introduces ideas of importance of opinions of significant others (subjective norms) and a consumer’s motivation to comply with the opinions of these significant others. Attitude-Behavior Consistency Note: A positive attitude toward a product does not necessarily mean that the consumer will buy Attitude-behavior consistency, the extent to which attitudes lead to purchase, is determined by a variety of consumer, situational, and measurement factors Attitude-Behavior Consistency Consumer Characteristics Resources, experience, state vs. action orientation, degree of conviction with which attitude is held Situational Characteristics Intervening time, unforeseen events, social influences, message repetition Measurement Characteristics – timing of measurement, reliability of measurement Implications of Attitude Research for Marketing Strategy Product positioning and repositioning Advertising-focus on certain attributes/benefits Marketing research Segmentation Distribution: select outlets for which consumers have favorable attitudes Consumers can also have attitudes towards the act of buying Attitude Change The Marketer’s Challenge Deep seated attitudes are internalized and become part of the person's value system Attitudes are difficult to change because they are so important to the individual – e.g. New Coke Branding America Persuasion - the active attempt to change attitudes Marketing messages are designed to persuade consumers to change brands The effort to persuade will influence how to market/advertise Who will be depicted using the product in the ad How the message should be constructed What media to use Where to advertise Interactive Communications THE ELEMENTS OF COMMUNICATION NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO Source NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO Encoding NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE Message NOISE NOISE NOISE NO NOISE NOISE NO NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO Transmission Medium Feedback NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO Receiver NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO Decoding NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE Feedback NOISE NOISE NOISE NO NOISE NOISE NO NO NOISE NOISE NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NOISE NOISE NOISE NOISE NO NOISE NOISE NO THE SOURCE Who is delivering the message can have a big impact on whether it will be accepted. source credibility a credible source can be particularly persuasive Expertise Attractiveness Trustworthiness Objectivity Source Credibility Credibility can be enhanced if the sources qualifications are perceived as relevant to the product being endorsed. If they are seen as experts. Celebrities as Credible Sources Awareness Due to their fame and high profile celebrity endorsers enable messages to stand out and break through the media clutter. hold the viewer's attention a consumer is more likely to keep the television on the channel showing a commercial with Wayne Gretzky than a commercial with an unknown actor. provide testimony for a product or service, especially effective when the product has contributed to their celebrity eg. consumers may be more likely to try a motor oil endorsed by Al Unser, Jr. This relationship can increase a consumer's belief and trust in the product and its benefits. Instant credibility when consumers see a credible celebrity endorsing a product, consumers think that the product must be at least ‘OK’ PR coverage: celebrities are topical and create high PR coverage. Celebrity-company marriages are covered by most media To create positive attitudes towards products and generate sales EG for sports figures, people know they are not going to be as good as these athletes, but having their equipment makes them feel better. Approximately 20% of all television commercials feature a famous person from the world of sport, television, movies or musical entertainment Drawbacks of using Celebrities $$ Pepsi Shaquille O'Neal $25 million Nike Tiger Woods $40 million Reebok Venus Williams $40 million Reebok Allen Iverson $100 million (lifetime) Shick Andre Agassi $19 million Nike Michael Jordan $40 million Drawbacks of using Celebrities Consumer cynicism People know celebrities get paid a lot of money for endorsements and this knowledge leads them to cynicism about celebrity endorsements. Consumer cynicism Introducing: The New Kmart! • “The logo does signify the change that we are making. It's truly a new beginning for us.” • – Jeff Smith, Kmart • "The new logo will signify change but the reality is they have to do a better job inside the store.” • – David Littmann, Comerica economist “K-Mart forgot the basics, like a clean store, wellstocked shelves, helpful personnel and attention to detail. The stores are a mess.” •— The Shopper Report There has to be a link between product and celebrity Cybill Shepherd was endorsing beef industry when said she did not eat meat. Sainsbury’s used Catherine Zeta Jones for its recipe advertisements when she was caught shopping in Tesco (UK grocery stores) Guidelines For selecting a spokesperson (FRED) Familiarity: The target market must recognize the celebrity, and perceive the person as friendly, likeable, and trustworthy. The more familiar an endorser, the more likely consumers are to buy the endorsed product Relevance For credibility there should be some link between the celebrity and the product, and between the celebrity and the audience. It is important for audience to identify with the celebrity. E.g. older consumers feel a tie to Arnold Palmer. If consumers can associate with the endorser, they will feel more comfortable accepting and buying the product or service. Esteem: Consumers must respect celebrity for the commercial credibility. Differentiation: The public must see the endorser as different from all the rest. Michael Jordan is an example of a celebrity that stands apart from the normal athlete, one of the contributing factors to his success as an endorser. Source Attractiveness Beautiful people are used in advertising because consumer's pay more attention to ads containing attractive models degree of attractiveness influences consumer's product evaluation the more attractive the higher we evaluate the product. Trustworthiness The Message What makes a marketing message persuasive? stress a unique attribute or benefit of the product - USP showing convenience of use showing new product or improved features people incidental to the message indirect comparison with other products demonstration of the product in use demonstration of tangible results no principal character - i.e. more time is devoted to the product Words Versus Pictures Message as Metaphor Vividness Factors Affecting Persuasiveness Type of Appeal Repetition Argument Words or Pictures Which conveys the message best? Visual affects aesthetic evaluations stress on creativity don't convey factual information well Verbal Take more time for consumer to process Better suited to high involvement medium - eg print harder to remember therefore more repetition needed verbal elements are more effective when reinforced by an accompanying picture Bloomingdales 1898 Throughout the 20th century pictures have gradually replaced words. Early advertising tried to persuade the reader with a series of facts about the product contained in the ad. Corn Flakes, 1933 Puerto Rican Rum, 1974 Cosmopolitan, 1997 VIVIDNESS precise descriptions or vivid graphics command attention remembered more than vague messages Companies that focused attention on the culture kept employee turnover to just 6.2% compared to 20% for industry at large. Vs Companies that focused attention on the culture kept employee turnover lower than for the industry at large. Repetition is the mother of teachers The idea behind the use of repetition in advertising is that we, like Pavlov's dog, will become conditioned to behave in a certain manner; namely, we will respond by buying the product increases familiarity and brand awareness Not only are ads repeated, but repetition is also used within the ads or commercials themselves too much repetition leads to habituation -stimulus because of boredom. consumer ignores boredom can be eliminated by slightly varying the content of ads around a common theme Constructing the Argument One-Versus two-sided arguments One-sided arguments persuasive messages that support one side of an issue or one product - stress on attributes and benefits cannot address questions usually more persuasive with audiences who have little or no comprehension of an issue.. two-sided arguments provide information about both positive and negative attributes of a product or service Negative attributes trivialised or refuted Help to differentiate the product works well when receivers are not already loyal to the product possess the potential for different types of delivery. E.g. do you deliver positive or negative first Why would a marketer want to draw attention to the negative aspects of their product? audience may pay more attention to it. By presenting the opposing side, the advertiser causes its audience to question the product or service. By questioning it, the individuals are made to think about the attributes. The more these attributes are considered...the longer the product or service is in the mind of the consumer. When topics are made more interesting or involving messages are processed more thoroughly. Consumers think more highly of products, brands, and services which make them think. The process is viewed as novel and pleasant. more credible than one-sided ads because they admit that the advertised brands have shortcomings. researchers have found that those exposed to the two-sided messages were more likely to have a more favorable attitude after the exposure. That is: the negative aspects of the message can yield a positive, desired attitude after exposure Providing positive attributes first; followed by negative attributes. allows consumer to hear about a product or service in a positive light first. provides a built-in counter claim, or opposing message. By providing only mild negative information to the consumer, the consumer is prevented from concocting potentially worse negative images on their own. Thus, it leads the consumer to perceive that the positive attributes presented are the stronger attributes. Providing negative attributes first; followed by positive attributes Positive attributes remembered best since they came last. Comparative advertisement type of two-sided message includes positive attributes about a product or service and some negative aspects of its competitor's product product A is better than product B.” the negative inclusions may lead a consumer to believe that there are more positive attributes to associated with the product or service when it admits that it has competitors. often works in priced-based advertising in print media, where competitors' prices are compared side-by-side. acknowledgement of the competitors may be direct or indirect. Pitfalls of Comparative Advertising Every mention of a competitor's name or product in an advertisement increases the probability that the audience will think the ad is for that competitor. Research commonly finds that a large percentage of the audience will believe that the competitor's product is the one being advertised. audience may also doubt the credibility of the biased ad false or misleading statements could lead to litigation. Eg. 1992 Ad for Maytag dishwasher said that "Nobody, But Nobody Cleans Better than Maytag or Holds More Dishes!" supported by results of a proprietary test . Whirlpool argued that its dishwasher cleaned better based on independent tests. Emotional Versus Rational Fear Types of Message Appeals Humourous Sex EMOTIONAL APPEALS emotional versus rational appeals to head or heart depends on the product and the type of relationship the consumers have with it. - ads for cars focus on emotion recall for ad contents tends to be better for thinking ads than for feeling ads Products are sold today through the use of emotional appeals and identifications. images and text in this ad are designed to have the maximum emotional effect for one purpose: to persuade the reader to make an act of charity Heart or Head? Humorous Appeals Culturally relative effective at catching people's attention. Recognition scores high for humorous ads Inhibit consumer from counter arguing which increases the likelihood of message acceptance more effective when brand is clearly identified – creates a positive attitude subtle humour usually best Does not work well for products where consumers want the facts e.g. food or where people have personal ties to the goods eg designer clothing, jewellery and sports cars. Ads poking fun at those products offend some consumers so much that they will not buy the product - it's like poking fun of the consumers Humor is an effective tool for selling products like candy and gum, because consumers don't have to do much decision-making before they buy such items, 1996 advertisers spent $10 billion on humorous ads out of the total $100 billion spent on all ads 72 percent of the 100 Best Commercials of All Time use humor to reach the target audience Effective humour surprises the audience, and at the same time, speaks some sort of truth. The goal in using humour in advertising is to make the audience laugh, and, more importantly, have them walk away thinking "this company understands me" Brands will be remembered more if they are intimately entwined in the humour Pitfalls of Humorous Appeals funny material can dominate the message and thus the product recognition is lost Reduces Comprehension a punch line that doesn't pay off – can backfire Fear Factor Highlight the risk or negative consequences of not using the advertised brand or of engaging in unsafe behaviour Fear of social physical harm or social disapproval Fear stimulates message involvement common factor for public-policy issues e.g. stop smoking Fear appeals are usually most effective when only a moderate amount of fear is induced increasing levels of fear do no result in increased change Lead customer to believe advertised product is insufficient to alleviate problem Pitfall - distract customer from focal product (ie. dwell on the fearful event rather than the proposed solution) Which ad is more effective? a solution to the problem should be presented. otherwise consumers will tune out the ad since they can do nothing it solve the problem Message as Metaphor the use of an explicit comparison -- A is B Truth in advertising" laws make it highly desirable for advertisers to avoid making explicit statements that could be true or false; therefore metaphors (and other devices) are typically conveyed in "non-sentences - eg Gateway . Computer ad More than one program running at a More muscle. time. More juice. More brains. More room. More brawn. More RAM. More music. More gigabytes. More modem. More glory. More software. More mail More music. Even more mail. More tools. Resonance a literary device that employs a play on words (a double meaning) to communicate a product benefit. puns are used as “attentiongrabbers