Consumer Attitude & brand building

Consumer Attitude

In consumer behavior context , attitude is a learned pre deposition

to behave in a consistently favorable or unfavorable way with
respect to a given stimuli. (Brand )

Learned deposition refers to information source , perception ,

experience , exposure to media etc which helps to build an attitude
& gives momentum to the behavior .
The momentum can be negative or positive.

Consistency refers to the voluntary decision ( Compulsive

buying ) which makes the consumer to purchase the product/
service / brand till such time there are no intervening factors
which force the consumer to change the attitude.

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 Two school of thoughts in Attitudinal theory

1 . Insights on product usage :

Attribution theory focuses on how consumer assign causality to
events and how they form or alter attitudes as an outcome of
assessing their own behavior, or the behavior of other people or
things.
Dove communication is built on the product insight that soap dries
skin , but Dove doesn’t because of its moisturizing content to
nourish the skin.

Cognitive dissonance theory : Anglo Saxon View ( Western

theory) and Non Anglo Saxon View ( Eastern cultural rich view )
Theory suggests that the conflicting thoughts, or dissonant
information, that follow a purchase /acceptance decision might
propel consumers to change their attitudes to make them consonant
with their actions.
An attitudinal shift of the market happens when , positioning
invokes beliefs , establish liking & induce a stimuli for buying
known as tri-component model. .
Tri component Attitude model:
1 Cognition component
2 Affective Cognition
3 Conation

Conation Affect

4
1.A positive or negative belief ( myth, Superstition, taboo, strong
reference opinion, Right or wrong product/service information
from authentic source ) As consumers hold many beliefs about a
product or service, it is difficult to decide which belief influence
the buyer’s attitude most.
Hence Multi-attribute ( known as the Fishbein) Model attempts to
summarize overall attitudes into one score using the equation:

For each belief, take the weight or importance (Wi) of that belief
and multiply it with its evaluation (Xib). 
 For example, if a consumer believes that coffee can help to
overcome metal fatigue by partially energizing ,hence gives the
importance 4 on a scale of 1 to 7. 

He or she believes that coffee can energize better than tea, hence
rates 6 on a scale from 1 to 7.  Thus, the product here is 4(6)=24. 

On the other hand, he or she believes that coffee consumption is

bad for health, hence rates 2.
Coffee has high caffeine content hence bad for health, thus rates
1 . Now we have 2(1)= 2.  Had these two beliefs been the only
beliefs the consumer held, total, or aggregated, attitude would
have been 24+(2)= 26. If required the scale can be extended from
-7 to +7 .
Since the second belief & evaluation factor is weak,   it will
negate the buyer’s decision towards coffee.
In practice, of course, consumers tend to have many more beliefs
that must each be added to obtain an accurate measurement.
Affect . Consumer’s feeling & emotions associated with the brand.
Consumers hold certain feelings toward brands . These feelings are
based on the beliefs (e.g., a person feels nauseated when thinking
about a hamburger because of the tremendous amount of fat it
contains), but there may also be feelings which are relatively
independent of beliefs. 

Behavioral Intention.  The behavioral intention is what the

consumer plans to do with respect to the object (e.g., buy or not buy
the brand).  As with affect, this is sometimes a logical consequence
of beliefs (or affect), but may sometimes reflect other
circumstances--e.g., although a consumer does not really like a
restaurant, he or she will go there because it is a hangout for his or
her friends.
The Attitude shift is for :

1.Utilitarian Function
2.Ego-defensive Function
3.Value-expressive Function
4.Knowledge Function

1. Utilitarian Function
Favorable attitude towards a brand happens because it has high
usage imagery . Marketers may stress the utilitarian feature or
may suggest uses of the product that may not be obvious.

2. Ego-defensive Function
Products that we purchase to protect our self-images, to replace
our sense of insecurity with personal confidence.
Techno savvy image , flamboyant image etc
3. Value-expressive Function
Consumer's express personal values through the brands they
purchase and own .Marketers often attempt to identify their brands
with these values.
“Fairness is a symbol of beauty & helps to gain success
corporate” .

4. Knowledge Function
Consumers feel the strong need to know and understand how the
brand can be put to application or support & justify her decision
of buying .
 Attitude change strategies
Change Belief ( Add belief , Change currently held , change
importance of belief.)

Change Affect

Change Behavior

Approach

1.Comparative advertising

2 Hyperbole statement .

3. Emphasizing Brand Attributes ( USP)

4 Competition based advertising

 Attitude & persuasion

Persuasion : A series of psychological processes mediating

perception , comprehension , agreement , retention , retrieval &
decision making using vital cue.

Primary route of persuasion .

Secondary route of persuasion

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 Temporary Retain original
Message
Attitude shift Attitude
Yes
Yes
Motivated to No Persuasion No
process Cue present
Yes
Ability to
process No ELABORATON
Neutral PROCESS
Cognitive processing

Cognitive structure
Change

Attitude change
change +ive
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Attitudes & their impact on brand building strategy
Attitude is a mental predisposition favorable or un
favorable ( positive or negative towards product or
service concept presented through brand.

Linkages between Value Attitude and Belief.

Value Attitude Belief

 Brand Value

According to David Aaker ,premium price which the

brand commands , can generates over its competitor
during a business cycle determines its brand value.

When a commodity becomes a brand, it is said to

have equity. The difference between the perceived
value and the intrinsic value of a brand , due to
which stands out among its rivals is called brand
equity.

When brand builds it equity in the market , the

stature of the brand goes high.
High
BE Cult brand
Iconic Brand
Aspirational brand

Me too brand
Out there brand
Low
BE
Orphan brand
The Concept of Brand Equity

• The brand equity concept stresses the importance of the

brand in marketing strategies.

• Brand equity is defined in terms of the marketing effects

uniquely attributable to the brand.
– Brand equity relates to the fact that different outcomes
result in the marketing of a product or service because it
creates a symbolic image “brand as Symbol”, as compared
to if the same product or service did not have that name.
 Brand As Symbol

Figurative Symbol

WORD Object Concept

(Brand Name ) Logo, emblem , Theme, slogan,
Color ,Form , structure punch line
Pattern , packaging Mascot

Goes with Self image

Of the consumer
 The Concept of
Customer-Based Brand Equity

• Customer-based brand equity creates

– Differential effect
– Customer brand knowledge ( Informed )
– Customer response to brand ( Connect )
 Benefits of
Customer-Based Brand Equity

• Enjoy greater brand loyalty, usage, and

affinity
• Command larger price premiums
• Receive greater trade cooperation & support
• Increase marketing communication
effectiveness
• Yield licensing opportunities
• Support brand extensions.
 Determinants of
Customer-Based Brand Equity

– Customer is aware of and familiar with the

brand

– Customer holds some strong, favorable, and

unique brand associations in memory
 Building
Customer-Based Brand Equity
• Brand knowledge structures depend on . . .
– The initial choices for the brand elements
– The supporting marketing program and the
manner by which the brand is integrated into it
 Building Brand Equity
• Strategic brand management involves the design and
implementation of marketing programs and activities to
build, measure, and manage brand equity.
• Brand equity building process is defined as involving
four main steps:
1) Identifying and establishing brand positioning and values
2)  Planning and implementing brand marketing programs
3)  Measuring and interpreting brand performance
4)  Growing and sustaining brand equity
 Rationale of
Customer-Based Brand Equity Model
• Basic premise: Power of a brand resides in the
minds of customers
• Challenge is to ensure customers have the right
types of experiences with products & services
and their marketing programs to create the right
brand knowledge structures:
– Thoughts
– Feelings
– Images
– Perceptions
– Attitudes
 Strategic Brand Management Process

STEPS KEY CONCEPTS

Mental maps
Identify and Establish Competitive frame of reference
Brand Positioning and Values Points-of-parity and points-of-difference
Core brand values
Brand mantra

Plan and Implement Mixing and matching of brand elements

Brand Marketing Programs Integrating brand marketing activities
Leveraging of secondary associations

Brand Value Chain

Measure and Interpret Brand audits
Brand Performance Brand tracking
Brand equity management system

Brand-product matrix
Grow and Sustain Brand portfolios and hierarchies
Brand Equity Brand expansion strategies
Brand reinforcement and revitalization
 Building
Customer-Based Brand Equity
• Building a strong brand involves a series of steps
as part of a “branding ladder”
• A strong brand is also characterized by a logically
constructed set of brand “building blocks.”
– Identifies areas of strength and weakness
– Provides guidance to marketing activities
CUSTOMER-BASED BRAND EQUITY PYRAMID

4.4. RELATIONSHIPS
RELATIONSHIPS ==
RESONANCE What
Whatabout
aboutyou
you&&me?
me?

3.3. RESPONSE
RESPONSE ==
JUDGMENTS FEELINGS
What
Whatabout
aboutyou?
you?

2.2. MEANING
MEANING ==
PERFORMANCE IMAGERY What
Whatare
areyou?
you?

1.1. IDENTITY
IDENTITY ==
SALIENCE
Who
Whoare
areyou?
you?
 Salience Dimensions

• Depth of brand awareness

– Ease of recognition & recall
– Strength & clarity of category membership

• Breadth of brand awareness

– Purchase consideration
– Consumption consideration
 Performance Dimensions

• Primary characteristics & supplementary

features
• Product reliability, durability, and
serviceability
• Service effectiveness, efficiency, and
empathy
• Style and design
• Price
 Imagery Dimensions
• User profiles
– Demographic & psychographic characteristics
– Actual or aspirational
– Group perceptions -- popularity
• Purchase & usage situations
– Type of channel, specific stores, ease of purchase
– Time (day, week, month, year, etc.), location, and context of usage
• Personality & values
– Sincerity, excitement, competence, sophistication, & ruggedness
• History, heritage, & experiences
– Nostalgia
– Memories
 Judgment Dimensions
• Brand quality
– Value
– Satisfaction

• Brand credibility
– Expertise
– Trustworthiness
– Likability

• Brand consideration
– Relevance

• Brand superiority
– Differentiation
 Feelings Dimensions
• Warmth
• Fun
• Excitement
• Security
• Social approval
• Self-respect
 Resonance Dimensions
• Behavioral loyalty
– Frequency and amount of repeat purchases
• Attitudinal attachment
– Love brand (favorite possessions; “a little pleasure”)
– Proud of brand
• Sense of community
– Kinship
– Affiliation
• Active engagement
– Seek information
– Join club
– Visit web site, chat rooms
CBBE & Marketing Actions

Consumer- INTENSE,
INTENSE,ACTIVE
ACTIVE
LOYALTY
LOYALTY
Brand
Resonance

RATIONAL
RATIONAL&&
Consumer Consumer EMOTIONAL
EMOTIONAL
Judgments Feelings REACTIONS
REACTIONS

POINTS-OF-
POINTS-OF-
PARITY
PARITY&&
Brand Brand POINTS-OF-
POINTS-OF-
Performance Imagery DIFFERENCE
DIFFERENCE

DEEP,
DEEP,BROAD
BROAD
Brand Salience BRAND
BRAND
AWARENESS
AWARENESS
 Brand Positioning
• Define competitive frame of reference
– Target market
– Nature of competition

• Define desired brand knowledge

structures
– Points-of-parity
• necessary
• competitive
– Points-of-difference
• strong, favorable, and unique brand associations
 Brand Valuation & Brand equity
Why Brand valuation :

Physical assets and intangible assets are important for an organization .

Brand is one among the most important intangible asset of an organization.

Organization want to commit marketing spends & evaluate the productivity of the
same to the brand portfolio which deliver high yield .( Power brands )

To ensure the correct value is ascertained for merger & acquisition purpose.
Accounting requirements enforces that purchased brands are capitalized &
amortized appropriately in the books .

Brand valuation ensures brand licensing fees correctly reflects the benefits
received to the organization.
Brand Valuation
Valuation approach :

Valuation by replacement cost.

Valuation by market price.
Valuation by potential earning
Valuation by inter brand model
Valuation by Multiple earning method.
Inter brand method : Brand strength is calculated using a set of marketing &
strategic criteria to give the brand an overall mark. The seven factors used are
:
Factors Max score Brand A Brand B Brand C
1. Leadership
2. Stability
3. Internationality
4. Support
5. Protection
6. Market
7. Trend

Brand strength