Customer Psychology and Consumer Behavior

Retake Assignment 2022

This retake assignment encompasses a portfolio of smaller assignments that spans the course
content.

All assignments need to be made with regard to the same product, brand, and store, that is
chosen as the first step in the work:

• Select from your personal experience the purchase of a product from an international
brand in a brick and mortar store in France. Describe product, brand, and store
environment;
• Draw a customer journey with particular attention to the traditional phases in the
decision process;
• Analyze the different dimensions of purchase risk and apply them to the chosen situation;
• Collect five different still ads of the brand, and analyze the psychological needs that
the brand addresses while situating them in Maslow’s pyramid.
• Describe the brand personality of the international brand by making use of the brand
personality workshop tools discussed in class, with Aaker’s model of brand personality
dimensions, stylistic and visual elements, and a collage of pictures that is representative
of the brand personality.
• Situate your brand in the “4P’s of luxury signaling” framework by Han, Nunez and Drèze
2010.
Add three brands to the model that correspond to the other P’s not taken by the brand that
you selected.
• Discuss how your brand addresses status and signaling, and how the theory related to
status and signaling applies to both the store and the brand you selected.
• Find examples of how the brand and/or store apply theoretical principles related to
social influences discussed in the course.
• Propose an improvement in the branding or store layout. Importantly, this improvement
should be based on a theoretical principle discussed in the course. Discuss how the
improvement is an example of the principle, how it should be executed to leverage the
theoretical principle to the fullest, and the effects that can be expected in terms of
changing consumer behavior.

The complete assignment should be 3000 words at least, and 6000 words maximum.
• Talking about my personal purchase experience I will indicate my experience with the brand
Nike. Recognized worldwide, Nike is an American company specializing in shoes, clothing
and sports equipment. So, trying to buy the Air Jordan XXXVI a new product from Nike,
it’s one of the lightest Air Jordan basketball shoes to date, with a sleek yet sturdy leno woven
upper reinforced with TPU tape. It also features a full-length Zoom Air Strobel unit sewn
directly into the upper and combined with a Zoom Air unit under the forefoot, providing an
elite basketball feel for energy return and responsiveness. Enter the court with the confidence
that whatever you do, you'll do it lightly. Describing the product show that they are high
quality basketball shoes that exists with five different colors that you can buy with a 169.69
Euros. As the store was an online one, I had the time to check a multiple product, check the
prices and also have many information from other buyer’s feedback, so I could finally
choose the white and blue Air Jordan XXXVI and command from the website. The delivery
process took two days and it was free as my purchase amount was more than 99 Euros.
Finally, between my hands I was extremely satisfied with the quality of the shoes and I
recommend my friends and family to try this wonderful experience.

• The customer journey is a relatively simple concept. It is very often adopted in inbound
marketing, because it helps to better understand the needs of prospects.
Inbound marketing is a marketing strategy whose goal is to encourage customers to contact
a company in any way possible, and then to build loyalty.
To achieve this, inbound marketing relies on content, buyer personas and the context in
which the prospect is illustrated.
In other words, inbound marketing is a way of presenting content that is appropriate to the
ideal person, and to a strategic phase of the customer journey.
This can contribute to the natural referencing of a website. But what does the customer
journey really mean?
This expression can take on various meanings depending on the context. The customer
journey can indicate a generic path followed by a customer in his interactions and
relationships with a company.
It can also refer to the path taken or the actions taken by the consumer between the moment
he defines his need and the moment he proceeds to the purchase.
But it must be recognized that these two approaches are closely related, as one is the
customer's perspective and the other is the companies.
Addressing the customer journey is therefore equivalent to analyzing the behavior of
consumers in their purchasing process. Thanks to the customer journey, it is easier to get to
know the customer better.
The customer journey encompasses all the steps a customer takes in his or her
customer/company relationship.
Customer journey mapping provides a concrete overview of the contact points between a
company and its customers. These points are distinct according to the type of customer.
Thanks to its flexible nature, the customer journey can be used to achieve different
objectives, always related to customer relationship management.
One of the main objectives of this methodology is the optimization of the user experience.
Before, during and after the purchase of a service or product, the customer is in contact with
the company. During these three stages of their purchase journey, they interact with the
company through several channels, both digital and physical.
In order to optimize the positive customer experience, the company must anticipate these
phases, notably by setting up a multi-channel communication network. Thanks to the quality
and efficiency of the customer journey, the customer experience will be optimal or not.
First step: Recognize of need and research of information
The traditional customer journey starts with this step. A customer need is triggered: to find the
solution, the consumer goes in search of information, most often in a cross-channel way.

Second step: selection

In this second step of the user journey, the customer compares the information found. Very often,
this comparison is based on existing customer reviews. It is therefore essential to take care of your e-
reputation in order to have a chance to move on to the conversion phase.

Third step: Purchase

This step is crucial in the conversion tunnel, since it symbolizes the passage to the conversion phase.
The consumer has made a choice, to start a relationship with a company, and to make a purchase.

Fourth step: Use of the product

In the customer journey diagram, this step is certainly the most important for the customer. At this
point where the customer tries the product for the first time and compare his expectations with what
the product really is. Then the customer makes his own point of view.

Fifth step: Support and service after sale (SAS)

This stage encompasses all the services offered after the purchase, including the delivery and
installation of the goods, as well as the physical or telephone assistance to the buyer.

Sixth step: Loyalty to the brand/product

At this stage of the user journey, the customer decides to continue his relationship with the company.
If they have already judged the product or service itself, it is their opinion of the whole experience
that will be decisive. To maintain a reliable and lasting relationship with a company, the customer
needs to be considered and valued.

Final step: recommendation

This stage of the customer journey is the ultimate phase of a successful customer experience: when
the loyal customer becomes an ambassador, who will recommend the brand and the product to
others.
The voice of the customer can be very powerful and impact brand awareness, image and conversion
rates.
 • Most authors agree that it is a two-dimensional construct, composed of the probability of
unpleasant outcomes and the magnitude of the loss (Peter and Ryan, 1976).
On the other hand, risk is considered a multi-faceted construct composed of physical risk,
psychological risk, social risk, financial risk, performance risk and time loss risk (Mitchell, 1999).
In what follows, we will highlight the different dimensions of perceived risk.

Monetary: Financial risk is the potential monetary expense associated with the initial purchase price
and subsequent maintenance costs of a product.
The financial risk is the most salient risk when buying on the Internet. It corresponds to the loss of
money if the product does not fulfill the expected qualitative and quantitative functions. This risk is
more influenced if the customer buys a product and finds that the product is defective when he could
buy the same product in a traditional store, try the product and prevent the financial risk.

Functional: In the process of purchasing on the Internet by the consumer, this performance risk,
which is also called "functional risk", could refer to the probability that the service purchased through
the Internet is not of good quality or does not provide the expected level of performance.
The performance risk reflects the difficulty of judging the quality of the product. It is related to the
functional aspects of the product.

Physical: In the process of purchasing on the Internet by the consumer, this risk could refer to the
danger represented by the purchase of certain products or services whose consumption can cause
physical or environmental damage.

Social: In the consumer's Internet purchasing process, this social risk could refer to the likelihood
that a purchase will result in disapproval by the social environment and/or a change in an individual's
social image, but also that the purchase will be unreliable.
It refers to the possibility of the consumer losing social status as a result of the use or consumption
of a product or service.

Psychological: Psychological risk refers to the possibility that a purchase will affect the consumer's
self-esteem.
The acquisition of a product that turns out to be different from what the buyer expected may cause
feelings of disappointment, frustration and shame.

Time loss: Time loss risk is the possibility that consumers will lose time in searching for and
purchasing a product, or in learning how to use a product/service.
Time is an explanatory factor in the perception of risk. Thus, the time between the decision
(consumption or purchase) and the consequence of this decision influences the perceived risk.
In the process of purchasing on the Internet by the consumer, this risk of loss of time could also refer
to the probability that a purchase leads to a loss of time to buy and/or take effective possession of the
product, or to have it refunded or changed in case of inconvenience.

In my purchase experience I was only confronted to the functional risk as it was my first time to buy
from the Nike online store. And also, the time loss risk in case the delivery process could take more
than the estimated time (two days).
 •

The Nike logo appeals to the dissatisfaction of the desire for personal achievement, a very strong
motivation. Nike is the performance and success of the greatest champions. The spring of motivation
is very anchored as much in the reason as in the pleasure, and can make active this need which will
not cease to be latent throughout a life.
So this publicity can be situated at the esteem level where the client feel strength and motivation by
using the Nike brand.

Following the great video "You can't stop Us" (July), Nike encourages people to move, stay active
and play sports in "You can't be stopped". Directed by the agency AKQA, the new commercial
features professional and amateur athletes pushing their limits.
Big names in sports are shown training and competing in prestigious competitions. They include
Naomi Osaka smashing tennis balls, Marcus Rashford scoring a goal and Kevin Durant hoisting a
trophy. Of course, other famous athletes join them. Swimmer Simone Manuel, runner Caster
Semenya, fencer Ibtihaj Muhammed and skateboarder Leo Baker are among them. Other unknown
athletes also appear on screen to encourage viewers not to give up so easily. "You Can't Be Stopped"
aims to convey a spirit of perseverance.
So, we can situate this add on the top of the pyramid of Maslow in the self-actualization level.
Nike does not hide and asserts its convictions. Indeed, the sports brand clearly displays its positioning
on current events and broadcasts, with Weiden + Kennedy Portland, strong messages: "For once, do
not do it.
"Just do it. This well-known motto is a motivation for all sportsmen and women. Indeed, it is an
effective phrase that encourages them to achieve their goals, to be active in all circumstances. But for
this campaign, Nike hijacks its slogan to fight against racist acts: "For Once, Don't Do It. So as long
as this add is against racism and it attend to teach viewers to respect others, it will be situated in the
esteem level in the Maslow Pyramid.

The ingenuity of the image lies in the double reading of this sentence, which is self-explanatory. It
evokes both the sporting values promoted by the brand, and the story of Kaepernick, who has not
stepped on the field since the end of his contract with the San Francisco 49ers in March 2017, for
lack of a team willing to hire him. Obviously, everyone understood what she was referring to. Just
like this other visual revealed a few days before and where we see Serena Williams in the famous
"Black Panther" outfit that has also caused controversy.
Then this add should be situated in the level of Esteem as it shows the value of confidence.
With a title more than equivocal "You Can't Stop Us", Nike reaffirms its values and wants to go even
further in its speech. The brand no longer communicates only on the sport as such, but rather on the
"sport of life" and the strength that must be developed to overcome daily, together, the challenges
that surround us.
This adds gives to the viewer the confidence, energy, and motivation to achieve their objectives in
sport or even in daily life. So, we will situate this add in the Esteem level.

• The Nike brand is particularly recognized by its slogan "Just Do It" and its logo "Swoosh".
These elements of the brand greatly demonstrate the strength and power of the brand.
Nike is above all a multi-sport brand that offers, by definition, products for a wide range of
sports: soccer, tennis, golf, basketball, etc.. The brand strives, for each sport, to associate with
a sportsman or a team sharing the values of the brand: the surpassing of oneself, the effort,
the perseverance, the fight, etc. Thus, Nike sponsors great athletes like Tiger Woods, Michael
Jordan, Andre Agassi and many others.
Nike addresses in its communication and its products to men and women from 10 to 35 years.
A target in the strength of age in coherence with the DNA and the image of the brand.
Nike ensures in its communication a 360° strategy by investing in all media, whether online
or offline. Thus, we find the brand on classic media (TV, poster, internet) but also more exotic
(street marketing, ambient). Nike aligns, on all media, a communication linked to the
surpassing of oneself and perseverance. Although the creations and the form of its speeches
can be different, the content and the message remain the same.

Following the Aaker’s model to analyze the personality of the brand we achieved the
following result:
 Aaker's model
0,8
0,7
0,6
0,5
0,4
0,3
0,2
0,1
0
-0,1 sincerity excitment feminine ruggedness Competence

-0,2
-0,3

• Patrician • Parvenu
Chanel Nike

• Proletarian • Poseur
Caterpillar Adidas

• By looking at the online store of Nike, we can notice that the luxurious shoes are high quality
but the price is bit exaggerated so we can conclude that Nike buy products that allow them to
reach a high social status and that dissociate them from the less fortunate. Therefore, the logo
must be prominent as it necessary for the parvenu category. In addition, the price is not that
much comparing to some others companies like Gucci that is purely for patrician who need
to show off using extra expensive products.

• Social influences are characterized by symbolism in social interactions, symbols and

consumption, reference groups and social classes. We will describe these four stages to learn
more about the subject.
The consumer buys products that are normally related to the group to which he wants to
belong. In each society, culture, subculture, social class or group of people, the consumer
adopts a set of symbolic meanings that are homogeneous with the way of thinking of other
members. For example, a sporty person buys Nike 6.0 jerseys to wear to school,
demonstrating that he or she is part of a sporty group. The fact of buying a brand that refers
to his lifestyle, it facilitates the acquisition of a new social status. This symbol has been
constructed through a mental process followed by a stimulus accompanied by a learned
meaning and a value socially shared by individuals in that group. Symbol formation:
 Each individual is part of a reference group that influences a consumer's beliefs, values,
opinions, attitudes and behaviors. Reference groups serve as a reference and basis for
comparison between products. There are different types of reference groups. There is the
association group, the group I belong to today. The picture below clearly shows the
membership of these consumers for the soccer team Manchester United which is sponsored
by the brand Nike.
Next, we have the aspiration groups which are separated into two subgroups. Anticipation,
which is to be part of a group in the near future. For example, wanting to move from the hippie
gang to the sports gang by buying Air Jordan shoes from Nike. This model of shoe is the pro
model of the famous basketball player Michael Jordan who lent his name to the Nike brand.
The symbolic, which is to be part of the soccer team Manchester United, however there is
little chance that this will happen since it is necessary to be an excellent soccer player to be
part of this team.

• As a synthesis, we confirm the existence of a congruence between the self-image of the

consumer and the image of the product/brand he consumes. This will influence the consumer's
choice, preference, attitude and emotion towards the product or brand.
Interpersonal attraction theory, symbolic interactionism theory, and self-reinforcement theory
have clearly confirmed that congruence between consumer self-image and product/brand
image is due to human nature. People tend to feel a good attraction to the person who looks
like them, rather than to others. Similarly, they prefer products/brands whose image resembles
their self, rather than others. Moreover, they like things whose image resembles their preferred
self-image. Thus, the congruence between the consumer's self-image and the product/brand
image influences consumer behavior. Inspired by the theoretical basis of self-congruence,
many studies have been initiated to validate the effect of self-congruence on buying behavior.
I recommend to the Nike company to focus on its culture of self-esteem. Moreover, in the
Nike company, sport, physical effort, but also surpassing oneself and sportsmanship are the
keystone of the organization and, by transition, of the brand itself. It is interesting to note that
more recent brands also try (sometimes in a more direct way) to communicate on the values
of their sector of activity. An individual can reinforce his own self-concept by consuming
products. Purchasing and consuming a Nike product allows him to reinforce his self in two
ways.
First, his self-concept is maintained and strengthened if he believes that the products he buys
are publicly recognized, and that their image is congruent with his self-concept. The effect of
self-reinforcement on the individual is influenced by public symbols of a product. Second,
self-reinforcement is achieved through the interactional process. The Nike symbol (just do it)
is commonly understood by the individual and its references, the desired communication and
interaction will develop. And the self-concept is reinforced by this reaction.
In conclusion, consumers always look for and prefer products/brands with an image congruent
with their self-image, in order to reinforce their self-concept. That’s why Nike should keep
her actual marketing strategy in its adds, what I can advise is that they need also to improve
their visibility in social media to push more people to join its culture of self-reinforcement.