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Consumer Behaviour

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Review journal articles on what we know about how consumers use their memory. How does this knowledge inform what we know and what we could study for product placement?

Introduction – 200- 300 words

Product placement

Product placements can be defined as paid product information targeted affecting the viewers via the planned of a branded product into a television program, movie (Balasubramanian, 1994), computer and online game. As it is not totally stated in this definition, product placements have been applied for persuasive motivations, such as increasing product awareness and sales. Some of the merits of product placements include overcoming the difficulty of zapping because viewers are less likely to change the channel or leave the place when a product shows in a movie like they may for advertisements (d’Astous & Chartier, 2000). Moreover, product placements allow marketers to aim very particular audiences because the demography of who attends which type of movie is well understood (Nebenzhal & Secunda, 1993). Product placements also have a longer life time than traditional advertisements (d’Astous & Chartier, 2000). When the movies are released as DVD or shown on TV, the brand placements are typically still present. Finally, surveys have demonstrated that viewers like product placements due to the realistic improvement of the movie or TV show ( Nebenzahl & Secunda, 1993). In its most basic understanding, product placements are the incorporation of brand components in entertaining media programing for commercial aims. Consequentially, it can also assist enrich the plot, reflect the rise of commercial matter in culture, and strengthen realism, but only if the advertising intent is not created explicit and is apparently performed as a part of the entertainment (d’Astous and Chartier, 2000). The underlying reason why product placements are more powerful and popular in marketing strategy than traditional advertising is that product placements are not perceived as a type of persuasive message (Balasubramanian, 1994). The logic behind this conclusion is that a viewer’s processing of product placements in an entertainment situation might be different from their processing of ordinary advertisements. In ordinary advertising, viewers typically recognize the purpose of the product message and this activates viewer reluctance and persuasion knowledge, which can distribute to resist and limit persuasive influences (Lee and Faber, 2007).
Product placements in movies, videos, and other types of narrative media are by their very nature “partial” forms of consumer advertising. Unlike, traditional print media and advertisements, they would not precisely call attention to product characteristics and emotional advantages. Cowley (2008) argues that unveiling to product placement is different because the buyer is watching a movie or television program as a mode of entertainment. The difference within the two is that product placements, depending on the levels of their integration into the instrument, disturbs the viewing sense of the audience in an effort to either put together the product amid the action or advantage from state endorsements of the program. In this regard, product placement violate upon the viewer’s feeling of continuity.
But there is some evidence of negative attitudes emerging where entertainment marketing practices are not well integrated into the entertainment vehicle, but appear so obviously contrived that they disrupt the entertainment narrative (Barn 2005). Still, it is hard to qualitatively assess the integration of a brand identifier into a piece of media content. This is why the study of how people process brand messages embedded in such entertainment media has emerged as an important research topic in advertising and information-processing literature (Gupta and Lord 1998). However, it is important to note that prior research has focused on memory, equating the recognition and recall with the effectiveness of product placement (Babin and Carder 1996; Matthes 2007). According to Russell (1998), there are three forms of product placement: visual, verbal and plot connection. The visual placement is that the appearance of the product on the screen. That is, screen placements can obtain different levels, depending on the appearances’ number on the camera, the style of screen shot for the product and so forth. Another dimension is verbal that refers to the product being introduced in a dialogue. This “script” placement more emphasizes to place the product name in the movie. Lastly, the plot connection form regards to which the product is performed in the plot of the story.

Stages of Memory
Memory is the means by which we draw on our past experiences in order to use this information in the present. Memory is contained in processing huge amount of information. This information includes many different types, such as images, sounds or meaning. Memory covers three sides of message processing: encoding, storage and retrieval.

Encoding
The first stage in information processing model is encoding. This is when product message is chosen and transformed into a form that the memory system to be utilized for later retrieval in working memory. This decision process is driven by both consciously and unconsciously. (Peters, & Leshner, 2013). According to Lang (2000), there are two types of messages are more easily to be chosen for encoding: 1.message relevant to the goals of the consumer 2.message that means change or an unforeseen occurrence in the environment. More particularly, Lee and Faber (2007) found that the location of the product messages in the game affected user’s processing embedded product information. For example, main product placement related to superior recall and recognition sensibility of brands as compared to peripheral placement.
A game-product congruity main effect on encode and recall was found. Highly contradictory products (pet product) were easier recalled than either highly congruous products (gasoline brands) or rather contradictory products (deodorant products). This is uniform with previous research examining what happens when contradictory appears extremely unforeseen or unusual connection (Lang, 2000; Orth and Holancova 2003/2004). For instance, the player indicated that gasoline suit well with a car-racing game, but advertisements for pet products were "inappropriate," "weird," and "confusing." The surprise occurrence of the words "pet" might have led to higher attention to the product names and assisted subsequent product recall of pet brands (Lee and Faber, 2007). Furthermore, the involvement of consumer with product or buying decision normally considered being a function of the personal consequence or importance of the product or decision (Maheswaran and Sternthal 1990). Although d'Astous and Chartier (2000) claim that consumer memory encoding decreases when a placement is judged as unacceptable, Park and Hastak (1994) argue that consumer’s involvement, encoding and retrieval with a product increase where there is a judgement. Thus, message that is relevant to the consumer’s goal or unexpected is more likely to be encoded, and judgement can increase customer’s involvement as long as it is not an unacceptable judgement.

It has been highly discussed that which kinds of product placement, such as visual, verbal, story or combination, is more effective for encoding and retrieval. Dual-coding model from Paivio (1991) suggests that images are encoded as visual codes (mental pictures) and words are described as verbal codes. The existence of dual codes (both visual and verbal) leads encoded message more retrievable. In dual-encoding model, another study by Unnava and Burnkrant (1991) claim that viewers may only store the audio code, but not visual codes in their memory. However, Gupta and Lord (1998) against that most viewers have no difficulty recalling the visual codes, but the value of the audio performance is unnoticeable.
This comparative value and influence of the model that includes audio product information in a movie looks like the relative effectiveness of advertisements, depending upon the performance of any accompanying visual description. Audio support might boost processing and recall of a delicate visual display, but emerges unnecessary in the existence of a visual placement of the product. Hence, the dual-coding model can be used for encoding memory effectively, and although the audio codes are not necessarily needed, the strength of this model could be reinforced by it.

Storage
The multiple store models is one of the most influential storage forms of memory processes. This model offers basically three related memory storage forms: sensory store, short-term store, and long-term store. Sensory store relates to a fleeting kind of memory store, which holds an exceptionally exact representation of stimulus data for very brief periods of time (normally a second or two). Without further preparing, stimulus data that enters sensory store may quickly be lost. Stimulus data is more easily to enter sensory store if that stimulus attracts attention to it (Mullen, & Johnson, 2013). Short-term store relates to the place of present memory processing. That is, if some new message is presented to a person, that new message will be progressed in short-term store. Miller (1994) suggested that approximately "7 (+ or - 2)" elements of messages can be saved in short-term memory. “Chunking” is the process that can expand this obstruction, through separate elements of message are united into larger chunks. If data stored in short-term memory is not rehearsed, this data will normally be disappeared in 30 seconds or less (Shiffrin & Atkinson, 1969). Long-term store is believed as a relatively permanent and boundless memory store. While sensory store and short-term store are surely important basis of the memory process, the major concern of companies are seeking to influence customers will be long-term store. It is important that the information of product be processed by sensory store and short-term store. However, if the consumer did not further process the product information, the consumer's memory of the product information would endure no longer than about 30 seconds.

As long- term memory includes implicit or explicit memorizing processes, these two types of processes have been highly applied in testing the effectiveness of brand placement. While retention of the perceived stimulus is unconscious in implicit memory, this process in explicit memory is conscious (Whittlesea, & Price, 2001). Explicit memory is measured through recall and recognition, and implicit memory is demonstrated when a viewer exposed to a product name is able to read or spell it more quickly than a viewer who has not been exposed. According to Lehu and Bressoud (2009), implicit memory process has become increasingly utilized in persuasive placement, making a special field of study, but it is applied less than explicit memorization to test the effectiveness of product placement. However, another research claims that because the limitations of explicit memorization tests to detect placement effects, the mutilation of implicit memorization in measuring brand placement influences has been proposed (Krishnan & Chakravarti, 1999). Brand placement influences may happen through nonconscious and conscious processes
For instance, although the viewer might not directly recall or recognize product names to which it had been placed, the product names might still affect familiarity with and product preferences (Russell, 1998). Moreover, the fact that implicit memorization is not controlled by whether message is semantically processed recommends that implicit memorization tests might reveal placement influences that are connected to incidental product exposure. Another interesting point is that using different kinds of memory test within the same area may obtain different results. Although Lehu and Bressoud (2009) demonstrate that plot connection of brand placement in movies is greater recalled than prominence, and the positive attitude in prominence is better than plot connection, Yang and Roskos‐Ewoldsen (2007) claim that if the product placement is used by main character, the product can gain more recognition as well as the positive attitude from the viewer. Thus, while both explicit and implicit memory can be operated to measure the effectiveness of brand placement, it seems that implicit memory may be more appropriate and gain the further insight for this particular study rather than explicit memory.

Retrieval
The final stage in this model is retrieval. This is the procedure of restarting a stored mental representation of some part of the information. In other words, retrieval is the procedure of searching the cooperative memory network for a particular piece of message and restarting it in working memory. All things considered, the more acquainted connections there are to a piece of message, that is, the all the more altogether it has been stored, the all the more promptly retrievable it is (Conway, & Engle, 1994). For consumer more effectively retrieve the memory of product, companies need to understand the factors that can affect the memory of consumer when they watching the product placement. Therefore, more current study has been concerned with causes that may affect consumer’s memory (Gupta and Lord 1998; Russell 2002). Causes that have been evaluated include that whether product placement is visual or verbal (or both), where brand identifiers are located in the movie or game, and how congruous the brand is with the main plot of the movie (Karrh 1998; Russell 2002). Other studies find that visual and verbal placement together cause better recall of the brand than a visual placement without verbal placement (Sabherwal, Pokrywczynski, and Griffin 1994). Russell (2002) established that in general, verbal placement was better recalled than visual placement and that how related the brand was to the plot could not affect recognition for acoustic placements, but could improve recognition for visual placements. Also, the visual attention has influence in product placement. Pieters and Wedel (2004) say that the large size of the placement heighten visual placement, and that more obvious placements lead to greater memory results (d'Astous and Chartier 2000; Gupta and Lord 1998). Moreover, Rumpf, Noël, Breuer and Memmert (2015) recommended that product information should be putted in situations where the excitement of the movie or action is on a medium to low level. Because of a lower level of surrounding concentration, the visual attention of product information could be facilitated more. Thus, while verbal placement might have high effectiveness in memory, it could work better that verbal and visual corporate together. Visual attention can be increased by using a large and obvious placement, and putting the placement when excitement is medium to low level.

The use of repetition is a common learning tool in product placement. Repetition of production placement can increase positive habituation through reducing negative replies to the novel stimulus, and exposure and awareness from low to an average level (Cox and Cox, 1998). The improving exposure conducts greater chance to elaborate on pleased of the information, to grow more familiarity with the placement, and to inspect relevant details of the information, therefore, assisting retention in memory (Homer, 2009). However, at higher uses of repetition, the receiver becomes used to the stimulus and bored and satiation tend to cause message reactance, increased disapproval, and receiver wear-out(Campbell, & Keller, 2003). Another interesting study found by Campbell and Keller (2003), repeated placement of a familiar product could be better recalled than an unfamiliar product. Although repeated placement also had a major influence at retrieval improved with repetition, there did not have interaction influence, therefore, memory for familiar products never can be caught up by memory for unfamiliar products. Hence, if repeated placement is under controlled, exposure and awareness of the product can be built to moderate level, and familiar product can gain a better result.

Conclusion and limitation 200-300 words

References

Balasubramanian, S. K. (1994). Beyond advertising and publicity: Hybrid messages and public policy issues. Journal of advertising, 23(4), 29-46.

Campbell, M. C., & Keller, K. L. (2003). Brand familiarity and advertising repetition effects. journal of Consumer Research, 30(2), 292-304.

Conway, A. R., & Engle, R. W. (1994). Working memory and retrieval: a resource-dependent inhibition model. Journal of Experimental Psychology: General, 123(4), 354.

Cox, D. S., & Cox, A. D. (1988). What does familiarity breed? Complexity as a moderator of repetition effects in advertisement evaluation. Journal of Consumer Research, 111-116.

d'Astous, A., & Chartier, F. (2000). A study of factors affecting consumer evaluations and memory of product placements in movies. Journal of Current Issues & Research in Advertising, 22(2), 31-40.

Gupta, P. B., & Lord, K. R. (1998). Product placement in movies: The effect of prominence and mode on audience recall. Journal of Current Issues & Research in Advertising, 20(1), 47-59.

Homer, P. M. (2009). Product placements. Journal of Advertising, 38(3), 21-32.

Karrh, J. A. (1998). Brand placement: A review. Journal of Current Issues & Research in Advertising, 20(2), 31-49.

Krishnan, H. S., & Chakravarti, D. (1999). Memory measures for pretesting advertisements: An integrative conceptual framework and a diagnostic template. Journal of Consumer Psychology, 8(1), 1-37.

Lang, A. (2000). The limited capacity model of mediated message processing. Journal of Communication, 50, 46-70.

Lee, M., & Faber, R. J. (2007). Effects of product placement in on-line games on brand memory: A perspective of the limited-capacity model of attention.Journal of advertising, 36(4), 75-90.

Lehu, J. M., & Bressoud, É. (2009). Recall of brand placement in movies: Interactions between prominence and plot connection in real conditions of exposure. Recherche et Applications en Marketing (English Edition), 24(1), 7-26.

Maheswaran, D., & Sternthal, B. (1990). The effects of knowledge, motivation, and type of message on ad processing and product judgments. Journal of consumer Research, 17(1), 66-73.

Miller, G. A. (1994). The magical number seven, plus or minus two: Some limits on our capacity for processing information. Psychological review, 101(2), 343.

Mullen, B., & Johnson, C. (2013). The psychology of consumer behavior. Psychology Press.

Nebenzahl, I. D., & Secunda, E. (1993). Consumers' attitudes toward product placement in movies. International Journal of Advertising, 12(1), 1-11.

Orth, U. R., & Holancova, D. (2003). Consumer response to sex role portrayals in advertisements: Effects of incongruity and prejudices on emotions and attitudes. Journal of Advertising, 32(4), 77-89.

Paivio, A. (1991). Dual coding theory: Retrospect and current status. Canadian Journal of Psychology/Revue canadienne de psychologie, 45(3), 255.

Park, J. W., & Hastak, M. (1994). Memory-based product judgments: Effects of involvement at encoding and retrieval. Journal of Consumer Research, 534-547.

Peters, Sara, and Glenn Leshner. "Get in the game: The effects of game-product congruity and product placement proximity on game players’ processing of brands embedded in advergames." Journal of Advertising 42.2-3 (2013): 113-130.

Pieters, R., & Wedel, M. (2004). Attention capture and transfer in advertising: Brand, pictorial, and text-size effects. Journal of Marketing, 68(2), 36-50.

Rumpf, C., Noël, B., Breuer, C., & Memmert, D. (2015). The Role of Context Intensity and Working Memory Capacity in the Consumer's Processing of Brand Information in Entertainment Media. Psychology & Marketing, 32(7), 764-770.

Russell, C. A. (1998). Toward a framework of product placement: theoretical propositions. Advances in consumer research, 25(1), 357-362.

Sabherwal, S., Pokrywczynski, J. V., & Griffin, R. J. (1994). Brand recall for product placements in motion pictures: A memory-based perspective, paper presented at the Association for Education in Journalism and Mass Communication Conference, Atlanta, August.

Shiffrin, R. M., & Atkinson, R. C. (1969). Storage and retrieval processes in long-term memory. Psychological Review, 76(2), 179.

Unnava, H. R., & Burnkrant, R. E. (1991). An imagery-processing view of the role of pictures in print advertisements. Journal of Marketing Research, 226-231.

Whittlesea, B. W., & Price, J. R. (2001). Implicit/explicit memory versus analytic/nonanalytic processing: Rethinking the mere exposure effect. Memory & Cognition, 29(2), 234-246.

Yang, M., & Roskos‐Ewoldsen, D. R. (2007). The effectiveness of brand placements in the movies: Levels of placements, explicit and implicit memory, and brand‐choice behavior. Journal of Communication, 57(3), 469-489.

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...Shoppers facing 'new economic reality' change behaviour By Anthony Reuben Business reporter, BBC News 31 October 2012 Last updated at 00:20 Tesco says customers are taking greater pride in finding value UK consumers are feeling worse about the economy than they did last month, despite the end of recession, the latest consumer confidence survey from financial research firm GfK says. Retailers say this is causing a change in shoppers' spending habits. Last week, the boss of Debenhams said: "We believe customers are acclimatised to the new economic reality." The boss of Tesco told BBC News his customers were, "resigned that this is the new norm". "They don't have great expectations that things are going to improve in the short term," he said. In 2008 and 2009, retailers say, people were spending like they were expecting a recovery, believing that if they kept their jobs their wages would rise with inflation. Four years on, rising fuel prices and sub-inflation pay rises are hitting their spending power, and they cannot see where an improvement is going to come from. While there was more growth than had been expected in the UK economy in the three months to the end of September, many analysts are predicting another contraction in the final quarter of the year. 'No going back' "There is a new mindset among consumers," said Patrick O'Brien from the retail analysts Verdict Research. "Even a year or two ago it was possible things would return to how...

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...Before discussing about consumer behaviour let us understand who is a consumer? A consumer is a person or group of people that are the final users of products and or services generated within a social system. A consumer may be a person or group, such as a household. The concept of a consumer may vary significantly by context. In simple terms any individual who purchases goods and services available in the market for his/her end-use to satisfy wants is called a consumer. Example- Mr. A purchases pen from market and Mrs. X got her dress dry-cleaned from a shop, in this case Mr. A and Mrs. X both are the consumers as Mr. A is purchasing a good for final use and Mrs. X a final user of the service available in the market. A rational consumer is a consumer who seeks to maximise utility or satisfaction in spending his income. Now let us study about consumer behaviour. Consumer behaviour is the behaviour of individuals when buying goods and services for their own use or for private consumption. The consumer has to decide on how much of each of the different goods he would like to consume and the choice of the consumer depends on the alternatives that are available to him and on his tastes and preferences regarding those alternatives. Accordingly, the economists study the two aspects of consumer behaviour. First, on what basis a rational consumer allocates the limited income between different goods and services the consumer desires. Of course, the objective behind the allocation...

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