Marketing Concepts Chapter 5

What are the 5 stages in the purchase decision process?

(1) problem recognition (2) info search (3) alternative evaluation (4) purchase decision (5) postpurchase behavior

What are the five Situational influences?

(1) the purchase task (2) social surroundings (3) physical surroundings (4) temporal effects (5) antecedent states

What are the three largest subcultures in the US?

Hispanics, African Americans, Asian Americans

Attitude

a "learned predisposition to respond to an object or class of objects in a consistently favorable or unfavorable way" - shaped by values and beliefs

Beliefs

a consumer's subjective perception of how a product or brand performs on different attributes - based on personal experience, advertising, and discussions w/ other people

Brand Loyalty

a favorable attitude toward and consistent purchase of a single brand over time - reduces risk and saves time by consistently purchasing the same brand of shampoo and has favorable results- healthy, shining hair

cognitive dissonance

a feeling of postpurchase psychological tension and anxiety

selective perception

a filter of exposure, comprehension, and retention

dissociative group

a group that a person wishes to maintain a distance from because of differences in values or behaviors ex: Representatives of Abercrombie & Fitch offered cast members of Jersey shore not to wear their clothing

Lifestyle

a mode of living that is identified by how people spend their time and resources

drive

a need that moves an individual into action ex: hungry

Personality

a person's consistent behaviors or responses to recurring situations ex: assertiveness, extroversion, compliance, dominance, and aggression

cue

a stimulus or symbol perceived by consumers ex: sees a billboard

Physiological needs

are basic needs to survival and must be satisfied first ex: food, water, shelter, oxygen A Red Lobster advertisement featuring a seafood salad in attempts to activate the need for food

family life cycle

concept describes the distinctive phases that a family progresses through from formation to retirement

Social needs

concerned with love and friendship ex: friendship, belonging, love Dating services, such as Match.com and eHarmony, and fragrance companies try to arouse these needs

Limited problem solving

consumers typically seek some info or rely on a friend to help them evaluate alternatives.. don't merit a great deal of time or effort ex: choosing a toaster or restaurant for lunch

Extended problem solving

each of the five stages of the consumer purchase decision are used ex: automobile or audio system

Personal needs

include the need for achievement, status, prestige, and self-respect ex: status, respect, prestige The American Express Centurian Card and Brooks Brothers Clothiers appeal to these needs

opinion leader

individuals who exert direct or indirect social influence - those who are considered experts of a certain product and have a heavy influence on others buying decision

Reference groups

people to whom an individual looks as a basis for self- appraisal or as a source of personal standards - influence info, attitudes, and aspiration levels

subcultures

subgroups within the larger, or national. culture with unique values, ideas, and attitudes -

consumer behavior

the action a person takes in purchasing and using products and services including the mental and social processes that come before and after these actions

response

the action taken by a consumer to satisfy the drive ex: buys a sandwhich

selective retention

the consumer does not remember all the info they see, read, or hear, even minutes after exposure to it

consideration set

the group of brands a consumer would consider acceptable from among all the brands in the product class of which he/she is aware

Word of mouth

the influencing of people through conversations - most powerful and authentic info source for consumers, bc it typically involves friends viewed as trustworthy

involvement

the personal, social. and economic significance of the purchase to the consumer ex: high- involvement purchase occasions has one of three characteristics: (1) is expensive (2) can have serious personal consequences, could reflect on one's social image ex: low- involvement purchases include: toothpaste and soap

perception

the process by which an individual selects, organizes, and interprets information to create a meaningful picture of the world

Consumer socialization

the process by which people acquire the skills knowledge, and attitudes necessary to function as consumers ex: children learn how to purchase (1) by interacting w/ adults in purchase situations (2) through their own purchasing and product usage experiences

Behavioral learning

the process of developing automatic responses to a situation built up through repeated exposure to it

Routine problem solving

the purchase process for such items is virtually a habit and typifies low-involvement decision making ex: salt, milk

social class

the relatively permanent, homogeneous divisions in a society into which people similar values, interests, and behavior can be grouped ex: source of income (not level of income), education

reinforcement

the reward ex: it tastes great!

purchase decision process

the stage a buyer passes through in making choices about which products and services to buy

Self- concept

the way people see theselves and the way they believe others see them

What are the three problem-solving variations?

1. Extended problem solving 2. Limited problem solving 3. Routine problem solving

Safety needs

involve self-preservation as well as physical and financial well-being ex: freedom from harm, financial security Smoke detector and burglar alarm manufacturers focus on these needs, as I do insurance companies and retirement plan advisors

selective comprehension

involves interpreting info so that it is consistent with your attitudes and beliefs ex: Toro introduced a small lightweight snowblower called Snow Pup. After renaming it Snow Master sales greatly increased

Self- actualization needs

involves personal fulfillment ex: a long-running U.S. Army recruiting program invited enlistees to "Be all you can be"

aspiration group

is a group that a person wishes to be a member of or wishes to be identified with, such as a professional society sports team

brand community

is a specialized group of consumers with a structured set of relationships involving a particular brand, and the product use -

Motivation

is the energizing force that stimulates behavior to satisfy a need

Cognitive learning

learning through thinking, reasoning, and mental problem solving w/o direct experience.. learning from other's experience and altering yours ex: firms use this in promotion "Feel Better, Tylenol 8-hour" brand (Tylenol 8 -hour) an idea (pain reliever)

Stimulus generalization

occurs when a response elicited (provoke a response) by one stimulus (cue) is generalized to other stimuli ex: using the same brand name for different products: Tylenol Cold & Flu and Tylenol P.M.

selective exposure

occurs when people pay attention to messages that are inconsistent with them

Stimulus discrimination

refers to a person's ability to perceive all light beers as being alike ex: Budweiser Light commercials that distinguished between many types of "light" beers and bud light

Learning

refers to those behaviors that result from (1) repeated experience (2) reasoning

evaluative criteria

represents both the objective attributes of a brand (such as display) and the subjective ones (such as prestige) you use to compare different products and brands

Perceived risk

represents the anxiety felt bc the consumer cannot anticipate the outcomes of a purchase but believes there may be negative consequences ex: can I afford $500 for those skis

Subliminal perception

you see or hear messages w/o being aware of them