Motivation

• Two employees in an organization with a similar

designation and with similar incomes may still opt for
different products and services – one may be driving a
Chevrolet Spark (petrol version) using a Airtel HTC mobile
and subscribing SBI Contra SIP and also investing money in
share market, while the other may be owning a Maruti
Zen (diesel Version) using a Tata Indicom Nokia Mobile,
investing in postal and LIC of India. -

• Why this situation?

• This example shows that people in a very similar situation may
still act or behave differently. Every person is driven to satisfy a
specific need in a different way, resulting in variation in the
consumption of goods and services, from individual to
individual. Both have different motivational goal to satisfy.

• Motivation is defined as “stimulation of any emotion or desire

operating upon one’s will and prompting or driving it to action”.
 MEANING OF MOTIVATION
• FEELING HUNGRY? (unfulfilled need)

• Want to eat? (tension)

• Search for alternatives to reduce your hungry (drive)

• If at home ask mummy what is in the kitchen to eat. (learning)

• If mummy is not there you will remember that she prepared some
cake yesterday (Cognitive Processes)

• You eat the cake (Behavior) and this satisfies your hunger (goal or
need is fulfilled) or it might not have satisfied your hunger (goal not
fulfilled)
 Model of the Motivation Process

Learning

Unfulfilled Goal or need

Needs, wants Tension Drive Behaviour
Fulfillment
And desires

Cognitive
processes

Tension
Reduction
 Motivation
• Motivation can be described as the driving force within
individuals that impels them to action

Motive: An unobservable inner force that stimulates and

compels a behavioral response and provides specific
direction to that response.
 Needs
• Primary needs: or innate needs or motives. (Need for
food, for water, for air, for clothing, for shelter and for
sex)

• Secondary needs: or acquired needs that we learn in

response to our culture or environment. (these may
include needs for self-esteem, for prestige, for affection,
for power and for learning)
 Goals
• Generic goals: Water to
quench summer thirst

• Product-specific goals:
Lipton's Iced tea to quench
summer thirst
 The Selection of Goals
• Personal experience

• Prevailing cultural norms and values

• Goal’s accessibility in the physical and social environment

• Self Image ( a product that is perceived as matching a

consumer’s self-image has greater chance of being
selected)

• Interdependence of Needs and Goals

 Positive and Negative Motivation

Positive drives are needs, wants and desires.

• Sunflower oil for healthy family
• Toothpaste for fresh breath

Negative drives are fears and aversions

• Sunflower oil for reducing the chances of heart
attack
• Toothpaste to stop bad breath
 Rational versus Emotional Motives

• Rational Motives: implies that consumers elect

goals based on totally objective criteria, such as
size, functions, price ….

• Emotional motives: imply the selection of goals

according to personal or subjective criteria such
as pride, fear affection and status
 Rational Motives
• Erickson : Surprising small

• Lifebuoy: kills germs you cannot see

• Apex Exterior paints from Asian Paints: time proof beauty

• Dabur Chyavanprash: immunity against infections

• M-seal :seals all leaks

 Emotional motives
The way how the brand makes you feel.
• Close-up: confident
• Franklin templeton: secure
• Axe: irresistible
• JK tyres: In control
• Liril: fresh
• NIIT: inspired … life begins at NIIT
 Maslow’s Motive Hierarchy
5. Self-actualization: This involves the desire for self-
fulfillment, to become all that one is capable of becoming.
Advanced
4. Esteem: Desires for status, superiority, self-respect, and
prestige are examples of esteem needs. These needs
relate to the individual’s feelings of usefulness and
accomplishment.
3. Belongingness: Belongingness motives are reflected in a
desire for love, friendship, affiliation, and group acceptance.
2. Safety: Feeling physical safety and security, stability,
familiar surroundings, and so forth are manifestations of
safety needs. They are aroused after physiological motives
are minimally satisfied, and before other motives.
1. Physiological: Food, water, sleep, and to a limited extent,
sex, are physiological motives. Unless they are minimally
Basic satisfied, other motives are not activated.
Marketing Strategies and Maslow’s Hierarchy

Physiological: Food, water, sleep, and to a limited extent,

sex, are physiological motives.

Products : Health foods, medicines, sports drinks, low

cholesterol food, exercise equipment, bed, travel sleep
bags.

Theme : Burnol Antiseptic cream

Marketing Strategies and Maslow’s Hierarchy

Safety: Feeling physical safety and security, stability, familiar

surroundings, and so forth are manifestations of safety
needs.

Products: Smoke detector, preventive medicines, insurance,

seat belts, retirement investments, sunscreen, data
protection (new), vehicle safety (brand image)

Theme: Lakme sunscreen lotion, pension plans of icici pru,

Hepatitis B injection
 Marketing Strategies and Maslow’s
Hierarchy
Belongingness: Belongingness motives are reflected in a
desire for love, friendship, affiliation, and group acceptance.

Product: personal grooming, food, entertainment, clothing,

greeting cards, jewelry and diamonds

Theme: Country club (Bring your Friend)

Russels spoken English
 Marketing Strategies and Maslow’s
Hierarchy
• Esteem: Desires for status, superiority, self-respect, and
prestige are examples of esteem needs.

• Product: Clothing, liquor, furniture, hobbies, stores, cars

• Theme :Raymond A complete man

 Marketing Strategies and Maslow’s
Hierarchy
Self-actualization: This involves the desire for self-
fulfillment, to become all that one is capable of
becoming.

Product: education, hobbies, sports, some vacation, charity

 Sheth’s Five Needs
• Functional needs –Those needs which satisfy a physical/functional
purpose, e.g. soap (Lux, Santoor, Dove)
 
• Social needs –Needs that allow identification with desired group, e.g.
logos (Versace)

• Emotional needs–Those needs which, create appropriate emotions,

e.g. joy on getting gift or giving gifts (Titan)
 
• Epistemic needs –The Need for knowledge/information, e.g.
newspaper (DNA, Times of India, Economic Times)
 
• Situational needs –The needs, which are contingent on time/place,
e.g. emergency repairs or swine flu medicines
McCLELLAND’S Three Needs Theory

· nACH:
need for achievement: drive to excel: drive to achieve in
relation to a set of standards; to strive to succeed.
· nPOW:
need for power: the need to make others behave in a way
that they would not have behaved otherwise.
· nAFF:
need for affiliation: the desire for friendly and close
interpersonal relationships.
Motivation and Marketing
Strategy
 The Challenge of Understanding
Consumer Motivation

Mel Fisher is the executive director of Mel Fisher

Maritime Heritage Society. He searched a treasure
For nearly fifteen years and meanwhile lost one son
Also. He ultimately found the treasure. Why did he
Search for treasure?
Why do people go for credit cards?
The Challenge of Understanding
Consumer Motivation
Reasons underlying consumer
motivation are not always “obvious”
Research is necessary to discover real
motivations behind behaviors
People don’t always want to disclose
real reasons for their actions
People don’t always know why they do
what they do—unconscious motivation
Motivations change over time
How motivation is useful in marketing?

unconscious motivation
Motivating with Money
Provide Other Incentives
Implement a Loyalty Program
Enhance Perceived Risk
Arouse Consumers’ Curiosity
 Unconscious
Why do women bake?
Motivation

Pillsbury Doughboy appeal to unconscious Needs?

Motivating Consumers
Motivating with Money
Price cuts, specials, rebates, and
coupons motivate purchase
Resulting sales may increase, but
profits may not
Attracts consumers less likely to
repeat
Price reductions may increase price
sensitivity
Motivating Consumers
Provide Other Incentives
Premiums, free products,
contests, and sweepstakes are
designed to motivate consumers
to purchase
There are limitations and
shortcomings for this strategy in
addition to the products offered as
a premium being valued less
(value-discounting hypothesis)
Motivating Consumers
Implement a Loyalty Program
Motivate repeat buying by providing
rewards to customers based on how
much business they do with the
company
Tracks consumer purchases and
provides estimates of Customer
Lifetime Value
Motivating Consumers
Enhance Perceived Risk
Perceived risk: consumers’
apprehensions about the
consequences of their behavior
(buying and consuming the product)
Greater perceived risk increases
search
Educating consumers about risks may
motivate them to make more informed
choices that reduce exposure to risk
Informing Consumers of Their Risks
Motivating Consumers
Arouse Consumers’ Curiosity
For new products, educating
potential customers is crucial
Curiosity often leads to an enhanced
need for information
May advertise a benefit that is not
normally associated with the product
Arousing Curiosity
Case Study
Thomson was a limited company manufacturing vending machines. These machines could be used for
automatic vending of cigarette packs, match boxes, tea, coffee, cold drinks, chocolates and many
other products. The vending machines had to be programmed for vending various items. One
machine could handle a variety of products as well. These were to be installed at shopping centres,
cinema halls, public places, hotels, etc. The manufacturer started with installing these machines in
various parts of the city for selling coffee and tea. The machines became popular, as they served the
customers with both tea/coffee at a standard price and the customer had the choice of having
strong or light, with or without sugar, more and more machines were set up at strategic places like
bus stations, railway platforms, etc. so that the customer had an access to the beverage, whenever
he needed it. In the beginning, an attendant was also required to stand with the machines, as they
were not fully automatic. Later, fully automatic machines were developed, which could work
without the help of an attendant. The attendant had to come only once, to replenish the stocks and
take out the cash from the machines. A difficulty that was faced, was that these machines did not
accept torn notes or some coins which got stuck in the. To overcome this difficulty, the company
was contemplating to introduce a card system, which could be purchased with Rs.100 or its
multiples and on using these cards, the amount would get debited automatically and the balance
would be known by the consumer.
The survey showed the results, but a lot of effort would be required to motivate the consumer to buy
these cards. The company also contemplated providing the consumers with other products as well.
These could be cigarettes, soaps, oils, cold drinks, chocolates, biscuits, etc.
 
Discuss the various issues of this cases. Bring out solutions to the issues listed.

Home work for next class