Chapter 6
Non-marketing- controlled information source
A product information source that is not associated with advertising or promotion
Marketing-controlled information source
A product information source that originates with marketers promoting the product
What is Want-Got-Gap?
I know what i want, I know what i got, How do i fill in the gap from my present status to get to my preferred state
limited decision making
The type of decision making that requires a moderate amount of time for gathering information and deliberating about an unfamiliar brand in a familiar product category
What was affected most by the Great Recession?
Unplanned/Impulse purchases
The Components of Culture
Values Language Myths Customs Rituals Laws Material Artifacts
Routine Response Behavior
Frequently used products low cost buy 1st evaluate later
What are the three types of purchases?
Fully-planned Partially-planned Unplanned/Impluse
Extensive Decision Making Attributes
High Levels of involvement High cost goods Evaluation of many brands Long time to decide May experience cognitive dissonance
Evoked set (or consideration set)
A group of brands resulting from an information search from which a buyer can choose
Social Class
A group of people who are considered nearly equal in status or community esteem, who regularly socialize among themselves both formally and informally, and who share behavioral norms.
Subculture
A group of people who share elements of the overall culture as well as cultural elements unique to their own group.
Value
An enduring belief that a specific mode of conduct is personally or socially preferable to another mode of conduct.
Stage 3: Evaluation of Alternatives and Purchase
Analyze the product attributes Use cutoff criteria Rank attributes by importance
Stimulus
Any unit of input affecting one or more of the five senses
Marketing-controlled Information Source
Biased toward a specific product because it originates with marketers promoting that product.
What is step three in the five step process used by consumers when buying goods or services?
Evaluation of alternatives
Extensive Decision Making
Expensive Buy infrequently Unfamiliar
High-involvement purchases require
Extensive and Informative promotion to target market
Low-Involvement purchases require
In-store promotion, Eye catching package design Good Displays Coupons Two for one or BOGO
The Impact of Social Class on Marketing
Indicates which medium to use for advertising Helps determine the best distribution for products.
What is step two in the five step process used by consumers when buying goods or services?
Information Search
Cognitive dissonance
Inner tension that a consumer experiences after recognizing an inconsistency between behavior and values or opinions
Stage 2: Information Search
Internal: Recall information in memory External:Seek information in outside environment
Why should marketing managers understand consumer behavior?
It can help Adapt to the 4 p's so they can influence them in order to achieve the best results by understanding what any why they buy.
Limited Decision Making
Knowledge of product Research brand
Limited Decision Making Attributes
Low levels of involvement Low to moderate cost goods Evaluation of a few alternative brands Short to moderate time to decide
Product Involvement
MEANS THAT A PRODUCT CATEGORY HAS HIGH PERSONAL RELEVANCE. Product enthusiasts are consumers with high involvement in a product category. The fashion industry has a large segment of product enthusiasts. These people are seeking the latest fashion trends and want to wear the latest clothes.
Situational involvement
MEANS THAT THE CIRCUMSTANCE OF PURCHASE MAY TEMPORARILY TRANSFORM A LOW_INVOLVEMENT DECISION INTO A HIGH_INVOLVEMENT ONE. High involvement comes into play when the consumer perceives risk in a specific situation. For example, an individual might routinely buy low-priced brands of liquor and wine. When the boss visits, however, the consumer might make a high-involvement decision and buy more prestigious brands.
What is step one in the five step process used by consumers when buying goods or services?
Need Recognition
Culture is
Pervasive-highly influential Functional-Laws Learned-Through family or through the years Dynamic-Always changing
What is step five in the five step process used by consumers when buying goods or services?
Post Purchase Behavior
Factors Determining the Level of Consumer Involvement
Previous experience Interest Perceived risk of negative con- sequences Social risks Psychological risks Social visibility
Factors Determining the level of Consumer Involvement
Previous experience Interest Perceived Risk of Negative Consequence Social Visibility
Different types of Involvement
Product Involvement Situational Involvement Shopping Involvement Enduring Involvement Emotional Involvement
What is step four in the five step process used by consumers when buying goods or services?
Purchase
Enduring Involvement
REPRESENTS AN ONGOING INTEREST IN SOME PRODUCT OR ACTIVITY. The consumer is always searching for opportunities to consume the product or participate in the activity. Enduring involvement typically gives personal gratification to consumers as they continue to learn about, shop for, and consume these goods and services. Therefore, there is often linkage between enduring involvement and shopping and product involvement.
Emotional involvement
REPRESENTS HOW EMOTIONAL A CONSUMER GETS DURING SOME SPECIFIC CONSUMPTION ACTIVITY. Emotional involvement is closely related to enduring involvement because the things that consumers care most about will eventually create high emotional involvement. Sports fans typify consumers with high emotional involvement. The Olympics are one example of high emotional involvement in sporting outcomes.
Shopping involvement
REPRESENTS THE PERSONAL RELEVANCE OF THE PROCESS OF SHOPPING. Modern shoppers tend to browse less and make fewer impulse buys because they shop on a mission. With armloads of research from the Internet, shop- pers go into the store, buy what they came for, and get out. To these shoppers, the physical shopping is not as important as doing the research at home. Retailers must do their best to engage these mission shoppers in order to get them involved in the store and the shopping experience.
Want
Recognition of an unfulfilled need and a product that will satisfy it.
Stage 1:Need Recognition
Result of an imbalance between actual and desired states
What are way to reduce Dissonance?
Seeking information that reinforces positive ideas about the purchase Avoiding information that contradicts the purchase decision Revoking the original decision by returning the product
Involvement
The amount of time and effort a buyer invests in the search, evaluation, and decision processes of consumer behavior
Extensive decision making
The most complex type of consumer decision making, used when buying an unfamiliar, expensive product or an infrequently bought item; requires use of several criteria for evaluating options and much time for seeking information
Internal information search
The process of recalling past information stored in the memory
External information search
The process of seeking information in the outside environment Less is more
Routine response behavior
The type of decision making exhibited by consumers buying frequently purchased, low-cost goods and services; requires little search and decision time