MKT201 – Buyer Behavior

1. MKT201 – Buyer Behavior Chapter 7 Supplementary Examples

2. Attitudes The Power of Attitude - The functions of attitude (Daniel Katz: Utilitarian, Value-expressive, Ego-defensive and Knowledge) - The ABC model of attitude (Affect, behavior and Cognition) - The hierarchies of effects (standard learning; low involvement; experiential) - Attitudes toward the advertisement Forming Attitudes - Three ways to form attitude (classical conditioning; Instrumental conditioning; complex cognitive process) - Attitude commitment (compliance; identification; internalization) - Consistency principles (Cognitive dissonance & harmony among attitude; self-perception theory; social judgment theory; balance theory) Attitude models (measuring attitude) - Fishbein Model, Theory of reasoned action, Theory of trying; - Tracking Attitudes over Time

3. The Functions of Attitudes • You should drink diet coke “just for the fun of it” • Have it your way – Burger King • 1950’s females resisted the use of instant coffee – threaten their conception of the selves as acceptable homemakers • Bayer wants you to know about pain relievers

4. Consistency Principles • Cognitive dissonance theory – if a person encounters negative information about a product after purchasing it, they may discount that information & focus on positive information that would reaffirm their reasons for having purchased. • Self-perception theory – helps explain the effectiveness of some sales strategies – foot-in-the-door technique is based on the observation that a consumer is more likely to comply with a request if he or she has first agreed to comply with a smaller request. • Social judgment theory – People form latitudes of acceptance and rejection around an attitude standard. Ideas (messages) that fall within a latitude of acceptance will be favorably received, but those falling outside of this zone will not. • Balance theory – basking in reflected glory – consumers often like to publicize their connections with successful people or organizations (no matter how tenuous the connection) to enhance their own standing. They are attempting to create a unit relation with a positively valued attitude object.

5. Advertising & Social judgment theory A cigarette ad is an extreme example, since many consumers have strong opinions about smoking. Those opinions will make it easier to discern the qualities of the socialjudgmenttheory embedded in the consumer's response to the advertising. The first step in evaluating the consumer's attitude towards cigarettes and their advertising is to administer an ordered alternatives questionnaire highlighting the positions that could be taken in response to smoking. Here is a modified questionnaire from Sherif and Hovland's model:

6. Advertising & Social judgment theory Read the following nine statements carefully and notice the letters next to them. The one statement that most closely matches the participant's stand on smoking is indicated with a YY. All other statements with which the participant agrees are marked with a Y. The statement found to be most objectionable is denoted with an NN. All other disagreeable statements are distinguished with an N. Statements left blank represent the latitude of noncommitment.

7. Advertising & Social judgment theory 1. Since smoking is not only hazardous to the smoker, but also to those around the smoker, all tobacco smoking must be outlawed. 2. Cigarette advertising influences children to smoke and must therefore be outlawed. 3. Since tobacco is addictive, its use should be discouraged. 4. Cigarette advertising should be allowed, but anti-smoking advertising should also be used for educational purposes. 5. Both the arguments for and against tobacco usage are similar. 6. Since second hand smoke is dangerous, restrictions should be enforced that allow for smoking only in designated areas. 7. Cigarette advertising must be protected by freedom of speech. 8. Smoking should be allowed in all public places. 9. Smoking is a personal choice and must not be influenced by any regulations.

8. Advertising & Social judgment theory • When a person with this level of involvement with a product observes advertising such as the Benson & Hedges ad, the reaction may vary greatly from that of nonsmokers. A nonsmoker may not even notice the ad since it represents a product that person doesn't buy. Although this campaign is different from many tobacco campaigns today, the nonsmoker may not be aware of the differences, nor care. A smoker with the above mentioned latitudes will more likely take notice of this and other cigarette advertising and will therefore notice the playfulness found in the Benson & Hedges ad as opposed to another brand's advertising.

9. Advertising & Social judgment theory • There is a good chance that an assimilation effect will occur when the earlier mentioned respondent views the ad. That is to say that a smoker would be more likely to mold this ad into his or her latitude of acceptance than a nonsmoker with different latitudes would. For example, a smoker may be loyal to another brand of cigarettes and enjoy that brand's advertising, but when exposed to the new advertising by another brand, that person would find it easy to incorporate the new ad into his or her perception of acceptable tobacco advertising.

10. Advertising & Social judgment theory • On the other hand, a nonsmoker would probably contrast the ad. A nonsmoker would likely have very different latitudes of acceptance, rejection, and noncommitment if asked to complete the same ordered alternatives questionnaire. As a result, that person's view of cigarette advertising would be on a different level than that of smokers. This person would probably immediately consider the ad to be outside his or her latitude of acceptance just because it is a cigarette ad, even though it may be closer to their latitude than that person thinks. • In summary, it would be easier for the nonsmoker to reject the ad as being outside his or her latitude of acceptance, just as it would be easier for the smoker to accept the ad.