Recap of Session Dated 29th Feb 2012

In this session we discussed about

1. Model of Motivation process
2. Type of needs
3. Rational and Emotional Motives
4. Frustration and Defense mechanisms
5. Theories of personality
6. Brand Personality Framework
7. Different self-images

Model of Motivation process

Motivation is the force that impels and individual to do an action. This motivation can be explained by Model of motivation process, which is as follows

Driving force is produced by tension, which exist as unfulfilled need. Individuals try to reduce this tension through selecting goals and striving towards them. The goals they choose depends upon their personal characteristics, perception, previous experiences and attitude.

Type of Needs

Every individual has some needs: Some are innate others are acquired.

Innate Needs are physiological (Need of food, water, air clothing, shelter and sex). Whereas Acquired needs are our responses to our culture or environment (Self esteem, prestige, affection, power and learning).

Further, we discussed about Rational Versus Emotional Motives

The term rationality implies that consumers select goals based on totally objective criteria, like size, weight, price, etc. Emotional motives on the other hand imply the selection of goals according to personal or subjective criteria. However, such motives are quite complex and subjective in nature, as what may appear irrational to an outside observer may be perfectly rational in the context of the consumer’s own psychological field.

Frustration and Defense Mechanisms

Failure to achieve a goal often results in frustration. Some people manage to cope by finding a substitute goal where as other consider it as personal failure and use different defense mechanisms. Such defense mechanisms are often used to protect their self-images and self-esteem. Different types of defense mechanisms are as

Aggression: Individual resort to aggressive behavior like slamming a bat.

Rationalization: Inventing plausible reasons like couldn’t practice.

Regression: Childish or immature behavior

Withdrawal: Withdrawing from the situation like quitting an organization

Projection: Projecting blame of his/her own failures and inabilities on other objects

Day Dreaming: Imaginary gratification of unfulfilled needs.

Identification: Seeing one’s own self in others.

Repression: Forcefully forgetting

Theories of personality

Personality which can be defined as those inner psychological characteristics that both determine and reflect how a person responds to his or her environment. There are different theories of personality that were discussed like,

Freudian Theory: It states that unconscious needs especially sexual and other biological drives are at the heart of human motivation and personality. Freud proposed id, superego and ego, where id referred to basic physiological need, superego as individual internal expression and ego is the individual’s conscious control.

Non- Freudian Theory: It states that social relationships are fundamental to formation and development of personality.

Trait Theory: This focuses on measurement of personality in terms of psychological characteristics called traits.

Brand Personality Framework

Framework suggests that there are five defining dimensions and nature of a brand’s personality. The framework suggests that there are five defining dimensions of a brand’s personality and some facets. If we carefully review these facets, it appears that this framework tends to accommodate the brand personalities pursued by many consumer products.

Self-Images
Consumers have a variety of enduring self images of themselves. These self images or perceptions of self are very closely associated with personality in that individuals tend to buy products and services. Some of the different kinds of self images are as:

Actual Self Image: How consumers in fact see themselves?
Ideal Self Image: How consumer would like to see himself?
Social Self-Image: How consumer feel other see them?
Ideal Social Self-Image: How consumers would like others to see them?
Expected self Image: This is future oriented combination of what is and what consumer likes to be?

Thanks and Regards,

Mohit Talwar

Roll No 77, IM Sec A

CBMR DISCUSSIONS

Hello guys… Blog is absolutely  running great because of your  persistent efforts…J ..As suggested  by  Sir, Let’s  initiate   blog discussions  on any  CBMR  topic  that you  consider as   relevant… So just gear up and come up with some useful topics  and start a thread…J

Recap of Session Dated 11th Feb 2012

In todays session sir talked about:
1.Factor Analysis
2.Cluster Analysis
3.Multidimensional Scaling

1.Factor Analysis 

• It is a Positioning technique
• It is Data reduction technique
• It is the clubbing of attribute into meaningfull factor
• Factor is done on variable level

Taking example of Tooth Paste:
      Different attributes of a tooth paste can be : whiteness, cavity, bad smell, freshness, tooth decay, shininess,   strong teeth etc
These attributes can be clubbed as:

1. Asthetic : whiteness,freshness, shininess
2. Health & Hygine : cavity, bad smell, tooth decay, strong teeth

Steps in Factor Analysis

1. Identifying number of factors : This is done with the help of Eigen Value ( Thumb rule for this is 80% of variance)                                                                                                                                      * Eigen Value : It is the amount of variance explained by the attributes
2. Assigning variables to factors : This is done with the help of Corelation Matrix                                     If r > 0.5 , then we can corelate the attributes
3. Naming the factors : Name the factor so that it can be suited to all variables ( It is marketing interpretation)

2. Cluster Analysis 

• It is a Segmentation tool
• Cluster is done on respondent level
• Cluster Analysis is homogenity within the sample and heterogenity across the sample

Steps in Cluster Analysis

1. Identifying number of clusters : It is done using Eucledian distance ( i.e. distance between two clusters). As soon as Eucledian distance increases by great value, then we say that heterogenity between two clusters have been identified.

        
 
     2.  Assigning respondents to clusters : This is done with the help of Dendogram.

    3. Profiling (Market Interpretation)

3. MDS

• Perception Map (XLSTAT)

 Please add any missing points

Thanks & Regards:
Shruti Aryani
Roll No - 80
PGDIE- 41

Recap of Session 3 (by Professor Dhume)

In this class 5 major issues were addressed.

·         What is Consumer Behaviour?

·         Applications of Consumer Behaviour

·         Approaches to Consumer Behaviour

·         Modelling

·         Buying Behaviour

 1.       WHAT IS CONSUMER BEHAVIOUR?

Behaviour is the response of a person to a particular situation. Consumer Behaviour is defined as Human behaviour in the context of consumption. Consumer Behaviour is influenced by Economics, Anthropology, Sociology and Psychology. 

Consumer behaviour may be considered to be the response to a particular stimulus, under the influence of a FILTER/ Organization. The Filter for each individual is generally unique, which explains why identical twins do not exhibit identical behaviour in all situations. In most cases, their life experiences are different.

The stimulus may be:

·         Uncontrolled: Macroeconomic / Environmental factors

·         Controlled : Marketing Mix

The responses may be:

·         Product Choice,

·         Brand Choice

·          Vendor Choice

·          Purchase Timing and Volume etc.

Differences between human and animal behaviour can be drawn on the basis of the following factors:

Animal Behaviour	Human Behaviour
Guided mostly by instinct. Influenced by learning to a small extent.	Most part of human behaviour is a result of learning. Instinct plays a small role.
Accumulated knowledge of present generations is not passed on to the future generations.	Accumulated knowledge of present generations is passed on to the future generations.

2.       APPLICATIONS OF CONSUMER BEHAVIOUR

a)      Philosophy of Marketing:  A study on consumer behaviour enables a marketer to understand the actual needs of customers. These needs may not be apparent otherwise, as customers are often unaware of their needs. They may also not want to reveal their needs or may be unable to articulate them well.

b)      Marketer’s Job:

The desired responses of any stimulus (marketing activity) are:

·         Attention of the customer

·         To Convince the customer

·         Purchase

·         Repurchase

·         Positive Word of Mouth

c)       Facilitate Marketing Decisions:

The quality/performance of a product is a decision taken by the top-level management. If performance exceeds expectations, customers are delighted and if performance equals expectations, customers are satisfied. However, performance below expectations results in dissatisfied customers.

d)      Branding: Branding is essential to prevent commoditization and to differentiate the product of one company from that of the others. Brands have an objective component that is associated with the product. On the other hand, its subjective attitude is linked with the equity of the brand.

3.       APPROACHES TO CONSUMER BEHAVIOUR:

·         Introspective

·         Retrospective

·         Prospective

·         Prescriptive

4.       MODELLING

Modelling approaches are used to appreciate a phenomenon. It performs the following functions:

·         Describes the phenomenon of buying

·         Explains the phenomenon of buying

·         Predicts what is likely

·         Control

5.       BUYING BEHAVIOUR:

 Deals with understanding the following aspects:

a)      Perception: Process of giving meaning to stimuli

b)      Motivation: Driving force which makes an individual act in a way that reduces the gap between what is prevailing and what is desired

c)       Personality: Sum total of all psychological characteristics that determine behaviour

d)      Attitude: Predisposition learnt over a period of time towards certain objects. The tri-component attitude model contains three dimensions: Knowledge, Feeling and Behavioural tendency.

e)      Learning

Blog Initiative Amazing

Dear nitie participants,

you folks are doing a great job. keep it up. Few insights from my side.

1) recap regular

2) Blog Opinion polls

3) Class snaps

4) Class board snap

5) Profiling with students and see which student have posted what recap - Blog Admin with few bloggers help can do that


keep up the good work


cheers,
Dr.Ankush

Recap of Lecture 1(Introductory Session)

Consumer Behaviour and Market Research

Faculty: Dr. S.M. Dhume

                   Dr. Ankush Sharma

Recap of Lecture 1(Introductory Session)

Part1: Dr. S.M. Dhume

Consumer Behaviour (CB) and Market Research (MR) together influence managerial marketing decisions. MR gives quantitative insight on ‘How it happens?’ where as CB provides qualitative insight on ‘Why it happens?’

The subject focuses on the integration of the two, which will meet the knowing- doing gap and thus, would enable us learn the subject from practical perspective.

Decisions are made to meet the gap the prevailing situation and the desired situation.

Steps in decision making:-

1.      Identify objective

2.      Compare and contrast different alternatives

3.      Select the best alternative

4.      Take action which is directed towards the desired state.

Success of decision making depends on:-

            1.      Quality of Information received

            2.      Capability of the decision maker in taking decision and implementing it.

Marketing Research is about understanding the process of marketing

vs

Market Research Includes understanding consumer (consumer research). Thus, market researchers should be thorough with CB.

Every company wants a) Growth and b) Survival.

Thus, it has to i) Attract customers and ii) Retain customers.  

Earlier, when Demand> Supply, the market was Seller’s market. However, post economic reforms of 1991, Supply>Demand therefore market is dominated by Buyers. Thus, attracting and retaining customers is a challenge in the present scenario.

Dealing with the Buyer’s market, two types of principles are:-

1)                 General management principles- include vision, mission, objectives, strategy, and goals.

2)                Marketing principles-

a.    Consumer perceived values(CPV)

  

 CPV= Consumer Perceived Benefits(CPB)/ Consumer Perceived Cost(CPC)

Where,

CPB includes:-

     -functional benefits: associated with products

     -subjective benefits: associated with Brand value (in customer’s mind)

CPC includes:-

     -financial costs

     -non-financial costs

                        The principle says:-                 

i)                    CPB>CPC

ii)                  Product/service should meet competition by overall high CPV(improve CPB,CPC or both)

b.     STP, Differentiation/USP

Mass marketing- economies of scale, associated risk is that everyone thinks it’s for others

One to One marketing- customer feels special, associated risk is high cost

Thus, Segmentation-Targeting- Positioning is done to reap out the benefits of the two.

Segmentation- divides the market-> do the profiling

Targeting- evaluate the segments-> Choose the segments

      Positioning-Identify USP

 i. It should be a distinguishing difference

                                     ii. USP should be important to the customer

                                     iii. Customer should be ready to pay for it

                      -Communicate USP

c.   Branding- Building name, design, symbol, or any other feature that identifies one seller's good or service as distinct from those of other sellers

      d.  Marketing Mix – 4P’s- Product, Place, Price, Promotion

      7P’s- also include Packaging, Physical Distribution and People

Marketing Information System has three parts:-

a)      Internal- through historical data

b)     Market Intelligence System- through published data/ blogs

c)      Market Research System

Part2: Dr. Ankush Sharma

Following assignments were discussed:-

1.             Blog(http://nitie1113cbmr.blogspot.com/)         

a)      Each one needs to join the blog

b)     All students have to write the Recap of lecture in the class at least once.

c)      Blog will be used for uploading articles, posts and discussions

2.            Consumer Journal(15marks)

a)      Each one has to prepare a log of everything we buy (provided it’s worth keeping log) in a word documents with the following fields:-

1)     Serial number

2)     Item purchased

3)     Rationale

b)     We need to dissect only one purchase every week. This includes mentioning the need of the item and the rationale behind the purchase.

c)      In the session, a few of us will be called to read out the dissection done. So, we need to be prepared with the laptop or pen drive in the session.

d)     The CJ will have to be submitted in the end. It will be evaluated on the basis of presentation, innovation and the number of behavioural parameters included.

3.            Positioning Study(15 marks)

a)      We need to form groups of 10 each and select a category and get it register before session2.

b)     Templates of questionnaire, coding sheet, data sheet will be sent by Sir.

c)      We need to send the draft questionnaire(100 questions/group) before session2

d)     Questionnaire will be discussed by sir in session2

e)      We’ll have to do the market research and prepare perception map.

f)       Positioning Study will be done using tools like XLSTAT, SPSS

g)      Presentation, Viva will be in the end of course.

Note: Each member will have to work which will be evaluated by peer review where each team member will have to evaluate all other team members and ambiguities in marking will call for Viva.

SEC Grid

SEC Grid