ASSIGNMENT
SUBMITTED TO SUBMITTED BY:
DR. NITIN SAXENA GARVITA VERMA
ROLL NO. 2017013
CONSUMER LEARNING PROCESS
“Learning is defined as the process by which individuals acquire the purchase and consumption knowledge and experience that they apply to future related behavior.”
Learning is a process. It’s the result of knowledge or experience. It serves as the feedback and future behavior.

Learning is one of the primary determinants of human behavior. Socio-cultural variables as culture, values attitude, ideas, concepts, motives, perception and responses to needs are all result of learning. Everybody spends his life learning as well as controlling other to achieve desired results.

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In consumer behavior learning is the change in behavior brought about by experience, the tendencies to perceive, think or act in certain ways with regards to given products, services or ideas. When learning occurs, behavioral modification is its manifestation and this is often relatively enduring.

ELEMENTS OF LEARNING
MOTIVATION- Unfulfilled needs leads to motivation. Motives serves to stimulated learning.

CUES- Response that directs the motives. Marketers must provides cues that don’t upset their expectation.

RESPONSE- How individual react to drive or cue – how they behave- constitute their response.

REINFORCEMENT- Reinforcement increases the likelihood that a specific response will occur in the future as the result of particular cues or stimuli.

LEARNING PROCESS
INTENTIONAL-learning acquired as a result of a careful search for information.

INCIDENTAL- learning acquired by accident or without much effort.

LEARNING THEORIES
Behavioral Theories
Cognitive Theories
Behavioral Theories- This theory based on the premise that learning takes place as the result of observable responses to external stimuli. This is also known as stimulus response theory.

Cognitive Theories- This theory of learning based on mental information processing, often in response to problem solving.

BEHAVIORAL LEARNING THEORIES
Classical Conditioning
Instrumental (Operant) Conditioning
Modeling or Observational Learning
Classical Conditioning- This theory says that all living beings learn from or taught by “repetition”. This is referred to as “conditioning” which means a kind of spontaneous response to a particular situation achieved by repeated exposure. Classical conditioning or respondent conditioning pairs or connects one stimulus with another that has already established a given response. Over repeated trials of exposure, the new stimulus will also begin to get the same or similar response. Pairing a stimulate with another stimulus that elicits a known response to produce the same response when used alone. Classical conditioning is the learning of associations among events that allows us to anticipate and represent our environment.

Strategic Application of Classical Conditioning
Repetition
Stimulus Generalization
Stimulus Discrimination
Repetition- Repetition increases strength of association and slows forgetting. More repetition will lead to advertisement wear out.
Three hit Theory: Three repetitions are required :-
To make consumer aware of the product service.

To show consumers relevance to the product.

To remind benefits.

Repetition depends on the competitive ads, if more competitors are there, consumer may forget your product.

Stimulus Generalization: learning depends not only by repetition but also on the ability of individuals to generalize.

Marketing Applications:-
Product Line, Form and Category Extensions
Family Branding
Licensing
Stimulus Discrimination:- Its key in developing positioning strategy. To create a distinctive image in the minds of the customers about your product. Opposite to Stimulus Generalization and that results in the selection of specific stimulus from among the similar stimulus.

Instrumental (Operant) Conditioning: Consumers learn means of trial and error process in which some purchase behaviors result in more favorable outcomes (rewards) than others purchase behaviours. A favorable experience is instrumental in teaching the individual to repeat a specific behavior.
Instrumental Conditioning and Marketing
Make the product the ultimate reward
Provide samples and free trials
Provide non-product rewards
Practice relationship marketing
Reinforcement Schedules-Shaping
Massed versus Disturbed Learning

Reinforcement Behavior
Positive Reinforcement
Negative Reinforcement
Positive Reinforcement: Positive outcomes that strengthen the likelihood of a specific response.

Example: Ad showing beautiful hair as reinforcement to buy shampoo.

Negative Reinforcement: Unpleasant or negative outcomes that serve to encourage a specific behavior.

Example: Ad showing wrinkled skin as reinforcement to buy skin cream.

Other Concept of Reinforcement
Punishment: Choose reinforcement rather than punishment.

Extinction: Combat with consumer satisfaction.

Forgetting: Combat with repetition
Cognitive learning; Holds that the kind of learning most characteristics of human beings is problem solving, which enables individuals to gain some control over their environment. Learning based on the mental activity is known as “cognitive learning”. Human beings are the most evolved animals who have the most prominent characteristics of thinking, deliberation and problem solving. Unlike behavioral theories, the cognitive theories involve a complex mental processing of information, and emphasize the role of motivation and mental processes in producing the desired response.
There are three types of cognitive learning;
Observational Learning
Rote Learning
Reasoning
Observational Learning: individuals learn by observing the behavior of others, and consequences of such behavior. Also known as modeling or vicarious learning
Rote Learning: Learning concepts through simple repetition.Repeated ads teach consumers about a product’s attributes.

Reasoning: Highest level of cognitive learning. Involves creative thinking and depends on how information is processed and stored
Involvement Theory: A theory of consumers learning which postulates that consumers engage in a range of information processing activity from extensive to limited problem solving, depending on the relevance of the purchase.

Information Processing: A cognitive theory of human learning patterned after computer information processing that focuses on how information is stored in human memory and how it is retrieved
.
Social Judgment Theory:
There is another cognitive theory, called Judgment Theory. The central point of the theory is that individuals processing of information about an issue are determined by ones involvement with the issue. According to this theory consumers who are involved has a strong positive or negative opinion about a product or service based on information processing and experience. It requires lot of efforts to change their judgment.
Marketing Strategies
Marketing strategies require proper study and use of consumers perceptions and learning and divides it into various segments so that different consumers may be approached differently to influence them and make for them effective promotional programmes for different segments of consumers. They have to be conditioned and approached differently according to information processing level.

If we have to promote a particular brand of ice-cream or chocolate different consumers have to be approached according to their perception. Those who do not consume ice-cream at all will have to be tackled differently than those who are consuming some other brand of ice-cream. Those who do not consume ice-cream have to be conditioned to its use first not only by advertisement but by free trial.

The major factors on which markets are segmented may briefly be mentioned below:
1. Perception
2. Psychology
3. Region
4. Income
5. Conditioning of consumers
6. Level of information which they can retain i.e. knowledge
7. Level of education
HOW CONSUMER STORE, RETAIN, AND RETRIEVE INFORMATION:
Of central importance to the processing of information is the human memory. A basic research concern of most cognitive scientists is discovering how information gets stored in memory, how it is retained, and how it is retrieved.

Structure of Memory: Because information processing is kept temporarily before further processing: a sensory store, a short term store, and a long-term store.

Sensory Stage: All data come to us through our senses; however, the senses do not transmit whole images as a camera does. Instead, each sense receives a fragmented piece of information (such as the smell, color, shape, and feel of a flower) and transmits it to the brain in parallel, where the perceptions of a single instant are synchronized and perceived as a single image, in a single moment of time. The image of a sensory input lasts for a just a second or two in the mind’s sensory store. If it is not processed, it is lost immediately.

Rehearsal and Encoding: The amount of information available for delivery from short-term storage to log-term storage depends on the amount of rehearsal if it is given. Failure to rehearse an input, either by repeating it or by relating it to other data, can result in fading and eventual loss of the information. Information can also be lost because of competition for attention.

Encoding: It is the process by which we select a word or visual image to represent a perceived object. When consumers are presented with too much information (called information overload), they may encounter difficulty in encoding and storing it all.

Retention: Information does not just sit in long-term storage waiting to be retrieved. Instead, information is constantly organized and reorganized as new links between chunks of information are forged. In fact, many information-processing theorists view the long-term store as a network consisting of nodes (i.e., concepts), with links between and among them. The total package of associations brought to mind when a cue is activated is called a schema. Product information stored in memory tends to be brand based, and consumers interpret new information in a manner consistent with the way in which it is already organized. Consumers are confronted with thousands of new products each year and their information search is often dependent upon how similar or dissimilar (discrepant) these products are to product categories already stored in memory. Consumers recode what they have already encoded to include larger amounts of information (chunking).
Retrieval: “Retrieval is the process by which we recover information from long term storage”. In this process, the person accesses the desired information. Marketers maintain that consumers tend to remember the product’s benefits rather than its attributes, suggesting that advertising messages are most effective when they link the product’s attributes with the benefits that consumers seek from the product.

Interference: Old information in memory interferes with learning similar, new material. The greater the number of competitive ads in a product category, the lower the recall of brand claims in a specific ad. These interference effects are caused by confusion with competing ads and make information retrieval difficult.
Limited and Extensive Information Processing: For a long time, consumer researchers believed that all consumers passed through a complex series of mental and behavioral stages in arriving at a purchase decision. These stages ranged from awareness (exposure to information) to evaluation (preference, attitude formation), to behaviour (purchase), to final evaluation (adoption or rejection). This same series of stages is often presented as the consumer adoption process