Thursday, September 24, 2009

The reality of expectations is unavoidable as countless studies will repeatedly reveal that previous knowledge will affect a persons’ expectations. Since it is inevitable that people will hold previous knowledge, a marketer must account for this bias. Dan Ariely provides intriguing examples of behavioral studies that display the effects of knowledge on decision making, choice, and preference.


Ultimately, Ariely compiles a series of cases that confirm the power of knowledge, making expectations unavoidable. It is nearly impossible to create a situation where you are able to accurately survey someone who is essentially a “blank slate.” There are many labels for the knowledge that we receive, just as there are many conditions under which a product can be presented that will effect expectations. Expectations are shaped through messages from peers, media, family, and really anything that person has seen, felt, heard, or experienced in their lifetime.


It is important to consider the implications of knowledge presentation to a customer because that knowledge will “reshape the customer’s sensory perceptions to align with this knowledge.” What a customer knows about a product directly affects that customer’s attitude towards the product due to the expectations they have formed. The knowledge presented can be in the form of written or spoken data, yet the timing of the disclosure can make all the difference. For example, the difference between the preferences of people who found out about the vinegar in their beer beforehand were much different from the preferences of the people who found out about the vinegar after they had tasted the beer.


Another key point that Ariely includes is the power of presentation on expectations. The manner in which a product is presented pinpoints our sensory experiences. There are human systems that create and determine experiences with a product. The presentation can affect all five senses and create emotions that cultivate the expectation placed on that product or brand. As we explore the ability of knowledge to relate a person to their ideal self, culture, or other people, we encounter the reality of stereotypes that have been instilled in peoples’ minds and affirmed over and over throughout their lifetime.


The ideas discussed in Ariely’s article cause me to think about my perceptions of Starbuck’s as the power of the presentation in the actual store arises from the characteristics of the brand image I have been trained to believe. For example, the stereotype Starbuck’s patron is a real, sophisticated coffee drinker who appreciates more than just coffee, but a aroma-filled and friendly coffee shop experience. The price of the beverage that I associate with quality is a presentation characteristic that makes me believe what I am drinking tastes better than any other less expensive coffee drink.


The main experiment that Ariely constructs tests a person’s expectations based on knowledge as it centers on a person’s choice between a regular beer and a special vinegar-treated beer. He found that without foreknowledge of the vinegary brew, most participants chose the vinegary brew, yet if they were given the choice after knowing that there was vinegar in it, they chose the other option. The moral of the test was that people were more affected by their expectations about the beer than their experience. When we believe beforehand that something will be good, it will generally be good, and when we think it will be bad, it will be bad.


Ariely’s tests also identified the neural activity that affects those expectations. This is the reason that Coke has an advantage over Pepsi despite the fact that the brain reaction to the drinks is very similar. The emotional connection or the preconceived expectations about a product are so strong that they affect the brain’s perception. The strategic experience modules which include sensory, emotional, intellectual/cognitive, physical/behavioral, and relational aspects all contribute to expectations and their affects are influential even before any new knowledge is presented to the consumer.


Since marketing is essentially about “providing information that will heighten someone’s anticipated and real pleasure,” expectations play a powerful role in changing our enjoyment. I have seen the presentation of knowledge example played out in my own life when people give me their opinions on restaurants. When someone tells me of a wonderful, delicious restaurant, I automatically taste the food with the idea that it is amazing. I believe that part of it is experiential, but it is largely the result of knowledge presented to me before trying it.
I believe that this article and the ideas explored show how influential the mind can be on expectations and the scope of things for marketers to consider. For instance, does Pepsi ever have a chance to beat out Coke because of the deeply ingrained image of the brand in peoples’ minds? It does not seem likely, yet this fact leads marketers to the important role of positioning a product for long-term brand imaging success as well as presenting the customer a winning product before they even try it.

Wednesday, September 9, 2009

My Persona...
These 10 characteristics describe who I am to the market researcher:

1. Faith
The most central guiding factor in my life is my faith in Jesus. I enjoy spending time daily trying to understand more of who He is through prayer and study of the Bible. He is the only thing that is constant in my always changing life and the hope I can point to in any circumstance. I am growing in my understanding that my Jesus supplies all I need and is my one true desire, comfort, and refuge. I don’t read hardly any fiction, but I do enjoy non-fiction books that spur my spiritual development and understanding of Jesus.

2. Student
I am 21 years old and I am a senior college student. I am extremely self motivated and genuinely excited about pursuing my education at The University of Texas. I was raised a longhorn fan and trained to do a hook ‘em hand sign since I could barely walk. My dad took me to the football games, and I always enjoyed my trips to the campus, walking great distances to the Texas Chili Parlor before or after the games. We would also make special trips to see the tower lit up orange when our team won big games.

3. Runner
I have a passion for running and I truly enjoy the adventure of finding new environments where I can sightsee while I run. I seek adventure when I start out on a run. Whether it’s through the hustling downtown sidewalks, the highly populated town lake trail, or a quiet rural neighborhood, I am always up for a run. I am disciplined and eager to keep a commitment to physical activity. I am always interested in new, fun work outs, training tips, and insights from other active-minded people. I am dedicated to taking care of my body and making sure I have the best quality running shoe.

4. Loans
I am currently a student with loans that cover my tuition and living expenses. I try to make the most of every penny and practice the most cost-efficient means of taking care of day to day expenses. I currently have a meal plan at the sorority house I live in; therefore, I try to limit my dining out experience to special outings with friends rather than a daily habit.

5. Sports & Outdoors
Not only do I have school spirit, but I love sports. I do not like to miss a single play of a football game I am interested in. I enjoy watching baseball as well. I am usually up for an impromptu game of sand volleyball. I take advantage of every opportunity to play outside with friends, and I am thankful for great parks like Zilker.

6. Health Nut
When it comes to food choice, I am a health nut. I pick fresh fruits, salads and healthy sandwiches over greasy fast food any day. I splurge on more expensive health foods rather than settling on a 99 cent taco. I like to frequent places like Whole Foods, Pita Pit, and Jason’s Deli. While I savor nutritious foods, I have an enormous sweet tooth. I have always had an ice cream fetish, yet more recently I have expanded that love to include frozen yogurt. I like most anything ice cream, cookie, or brownie related, not often straying for more exotic desserts. I appreciate the uniqueness of yogurt shops and the brilliance of the business plan behind the shops that have sprung up around the Austin area. The fact that ten yogurt machines and nearly a hundred toppings can be handled by a single employee running the cashier boggles my mind.

7. People Lover
I am someone who enjoys the company of close friends and people in general. I prefer spending time studying in public spots, coffee shops and parks. I enjoy the camaraderie of studying in groups simply for the sake of small breaks sprinkled with fun conversations. I have a genuine love for meaningful conversations and quality time with others. I love to find out about others, and I ask almost everyone about their history, their story and their passions.

8. Organized
I am a scheduler and I keep my planner with me throughout the day, writing down notes to myself so that I can make the most of every minute and avoid forgetting about my many responsibilities. I am extremely involved and strive to follow through wholeheartedly to my commitments. I am a part of Alpha Phi sorority on campus and I cherish that sisterhood and the events that fill my calendar as a result. I have countless memories from events, and I also like to document them with lots of pictures.

9. Not Technical
I am not very tech savvy, and I am not the most eager to purchase all the latest technical gadgets. I don’t have an iPhone or a Blackberrry, and though they would be nice, I am not convinced I need to spend the extra money on the investment. I don’t own an iPod, and I only purchased an mp3 player within the last five years so that I could have a source of music while I run.

10. Practical
I am extremely practical. I usually have black and brown purses and shoes because they go with everything, and I only occasionally branch out. I do not find it necessary to own designer fashions, yet I love to find imitation designer items at discount prices. I have been raised by a very tight-budget and frugal set of parents, and I have always had to make purchase decisions based on my pocket book. On occasion, I do make exceptions for quality or just for items that I justify as a splurge.

Thursday, September 3, 2009

Test Round

This is my first blogging experience. So far, it has been great!