a) These risk-reduction strategies enable them to act with increased confidence when
making product decisions, even though the consequences of such decisions remain
somewhat uncertain.
i) Seek information
ii) Remain brand loyal
iii) Rely on brand image
iv) Rely on store image
v) Buy the most expensive model or brand
b) Marketers need to provide consumers with persuasive risk-reduction strategies such as:
i) A well-known brand name
ii) Distribution through reputable retail outlets
Positioning and Repositioning
1. Positioning is the process by which a company creates a distinct image for its products,
services or brands in consumers’ minds.
2. Marketers have to persuade their target audiences to choose their products vs. competitive
products.
*****Use Learning Objective 4.8 Here*****
3. The positioning process includes the following steps:
a. Defining the market in which the product or brand competes, who the relevant
buyers are, and the offering’s competition.
b. Identifying the product’s key attributes and researching consumers’ perception
regarding each of the relevant attributes.
4. Positioning is especially difficult among commodities, where the physical characteristics of
all the brands are identical, such as water. Nevertheless, marketers offer many brands of
mineral water that range in price and are positioned differently.
5. Umbrella positioning is a statement or slogan that describes the universal benefit of the
*****Use Key Term umbrella positioning Here; Use Figure #4.11 Here*****
6. Premier positioning focuses on the brand’s exclusivity.
7. Positioning against the competition acknowledges competing brands. (Figure 4.12)
***** Use Figures 4.12 and 4.13 Here *****
10. Repositioning is the process by which a company strategically changes the distinct image
and identity that its product or brand occupies in consumers’ minds.
a. Companies do so when consumers get used to the original positioning and it no
longer stands out in their minds.
***** Use Key Term repositioning Here *****
11. Perceptual mapping is constructing a map-like diagram representing consumers’
perceptions of competing brands along relevant product attributes. Perceptual maps show
marketers:
a. How consumers perceive their brand in relation to competition
b. How to determine the direction for altering undesirable consumer perceptions of
their brands
***** Use Key Term perceptual mapping Here *****
REVIEW AND DISCUSSION QUESTIONS
4.1 How does sensory adaptation affect advertising effectiveness? How can marketers
overcome sensory adaptation?
Adaptation refers specifically to “getting used to” certain sensations or becoming accustomed
4.2 Discuss the differences between the absolute threshold and the differential threshold.
Which one is more important to marketers? Explain your answer.
The lowest level at which an individual can experience a sensation (e.g., the immediate and
direct response of the sensory organs to stimuli) is called the absolute threshold. To
illustrate, the distance at which a driver can note a specific billboard on a highway is that
4.3 For each of these products—chocolate bars and cereals—describe how marketers can
apply their knowledge of the differential threshold to packaging, pricing, and
promotional claims during periods of (a) rising ingredient and materials costs and (b)
increasing competition.
To repeat the information found in Question 2, the differential threshold is the minimal
difference that can be detected between two stimuli. It is also called JND (just noticeable
difference). Weber’s law states that the stronger the initial stimulus, the greater the additional
4.4 Does subliminal advertising work? Support your view.
Students may argue both sides of the issue. They should note the following key information.
The purpose of the concept is to stimulate people below their level of conscious awareness—
they can perceive stimuli without being consciously aware of it. It can be briefly presented
4.5 How do advertisers use contrast to make sure that their ads are noticed? Would the
lack of contrast between the advertisement and the medium in which it appears help or
hinder the effectiveness of the ad? Why or why not?
Stimuli that contrast with their environment are more likely to be noticed. The simplest
example is the contrast between a figure and the ground on which it is placed. The figure is
usually perceived clearly. The ground is usually perceived as indefinite, hazy, and
4.6. What are the implications of figure-ground relationships for print ads and for online
ads? How can the figure-ground construct help or interfere with the communication of
advertising messages?
Stimuli that contrast with their environment are more likely to be noticed. The simplest
visual illustration consists of a figure on a ground (i.e., background). In print and in online
4.7. Why do marketers sometimes reposition their products or services? Illustrate your
answers with examples.
The image that a product or service has in the mind of the consumer—that is, how it is
positioned—is probably more important to its ultimate success than are its actual
4.8. Why is it more difficult for consumers to evaluate the effective quality of services than
the quality of products?
Because of certain distinctive characteristics of services—their intangibility, their variability,
the fact that services are simultaneously produced and consumed, and their perishability—
4.9. Discuss the roles of extrinsic cues and intrinsic cues in the perceived quality of: (a)
wines, (b) restaurants, (c) smartphones, and (d) graduate education.
(a) Both the extrinsic and intrinsic cues affect the perception of product quality for wines.
Intrinsic cues, such as taste, color, smell, and vintage year are important indicators of quality
4.10 Describe the stages in the positioning process and apply them to positioning a
product of your choice.
The positioning process includes the following steps:
1. Defining the market in which the product or brand competes, who the relevant buyers are,
and the offering’s competition.
4.11 How is the understanding of consumers’ perceptions of a product’s attributes used
to position a brand within that product category?
4.12 Why do marketers have to reposition their brands? Illustrate with examples.
Repositioning is the process by which a company strategically changes the distinct image and
identity that its product or brand occupies in consumers’ minds. Companies do so when
4.13 What are perceptual maps, and how are they used in positioning brands within the
same product category? Illustrate your answer with the chapter’s discussion of eye
drops and toothpaste.
Perceptual mapping is constructing a map-like diagram representing consumers’
perceptions of competing brands along relevant product attributes. Perceptual maps show
marketers:
1. How consumers perceive their brand in relation to competition.
2. How to determine the direction for altering undesirable consumer perception of their
brands.
HANDS-ON EXERCISES
4.14 Find three print examples of the kind of promotional methods that constitute
ambush or experiential marketing. Evaluate each example in terms of the effectiveness
of the sensory input provided.
Instructor’s Discussion
Factors which students are likely to bring up include size of ads, the position of the ad, the
color and shelf position of the package, and the contrast between the stimulus and its physical
4.15 Define selective perception and relate one or two elements of this concept to your own
attention patterns in viewing print advertisements and online commercials.
Instructor’s Discussion
Consumers select stimuli from the environment based on the interaction of expectations and
4.16 Select a company that produces several versions of the same product under the same
brand name. (Do not use one of the examples discussed in this chapter). Visit the firm’s
Web site and prepare a list of the product items and the benefits that each item offers to
consumers. Are all of these benefits believable and will they persuade consumers to buy
the different versions of the product? Explain your answers.
Instructor’s Discussion
A good place for students to begin this exercise might be the computer, automobile, cereal, or
4.17 Apply the concepts that address consumers’ perceptions of service quality to your
evaluate this course at this point.
Instructor’s Discussion
Students need to consider that services are intangible, variable, perishable and
S.TA.R. PROJECTS
Ethical Issues in Consumer Behavior
S.T.A.R. Project #1
The conclusion on the part of most scholars and researchers is that subliminal perception
(advertising) does not work. The field continues to intrigue and interest communicators,
however. The history of the subject stretches back some fifty years. Your task is to evaluate the
ethics of subliminal persuasion. During your evaluation consider the positive and negative
Instructor’s Discussion
Students should be encouraged to read the material in the chapter before beginning this
S.T.A.R. Project #2
As indicated in the chapter, “the consumer’s selection of stimuli from the environment is based
on the interaction of expectations and motives with the stimulus itself.” Assume that you are the
marketing manager for a large suburban toy and game store. In an effort to stimulate sales, your
marketing team has employed an outside consultant. After a careful study of the store’s
marketing and merchandising practices, the consultant has observed that although children still
Small Group Project
S.T.A.R. Project #3
Every child has had the experience of taking a lunch to school. For older generations, this meant
peanut butter and jelly or bologna sandwiches. For today’s youth, it is more likely to be
Lunchables or some similar product. Kraft Foods has aggressively promoted Lunchables as a
healthy alternative to the “old time” sandwiches. Many mothers do not agree, however, and
continue to prepare lunches in the older fashion. Your group’s assignment is to examine
Lunchables (see www.lunchables.com) with respect to possible perceptual barriers that might be